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www.insideoutdoor.com<br />

A CHANGING<br />

LANDSCAPE<br />

Annual Retail<br />

Technology Outlook<br />

<strong>Spring</strong> 2008<br />

Investing in<br />

Customers<br />

POS Software<br />

Directory<br />

IP Communications<br />

Primer<br />

Video Touch<br />

Points<br />

PRSRT STD<br />

US POSTAGE<br />

PAID<br />

PERMIT 256<br />

BOLINGBROOK, IL<br />

Printed on 100%<br />

Recycled Paper


Come see us at the Outdoor Retailer Show | samsoniteoutlab.com


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C O N T E N T S<br />

<strong>Spring</strong> 2008<br />

24 TEVA’S HIGH-TECH TOUCH POINT<br />

Internet connectivity and interactive media are making<br />

their way onto the retail sales floor, and Teva’s<br />

new touch-screen program is an early example for<br />

outdoor specialty.<br />

By Martin Vilaboy<br />

20<br />

12<br />

26 POS SOFTWARE DIRECTIONS & DIRECTORY<br />

POS software is handling more and more functions,<br />

from the back office all the way to the sales floor.<br />

Turn to our detailed POS software directory for help<br />

with any upgrade, replacement or migration strategies<br />

that might be in the works.<br />

By Martin Vilaboy<br />

Departments<br />

DATA POINTS<br />

8 NUMBERS WORTH NOTING<br />

Returns on returns; stimulus plans; mobile commerce;<br />

plus more<br />

GEar<br />

34 COOL GEAR, LUKEWARM OUTLOOK<br />

Heat up the camping market<br />

FEATURES<br />

24<br />

12 RETAIL ODYSSEY 2015<br />

In the coming retail landscape, the emphasis behind technology<br />

investment continually will shift away from its capability to<br />

increase operational efficiencies to becoming a key asset for<br />

customer acquisition, retention and business success.<br />

By Martin Vilaboy<br />

20 HEEDING THE CALL OF IP TELEPHONY<br />

Phone and data services typically aren’t a top-of-the-mind issue<br />

for specialty retailers, but new capabilities and cost savings<br />

made possible through IP-based communications are well<br />

worth hearing about.<br />

By Martin Vilaboy<br />

FLOOR SPACE<br />

38 GRAMICCI’S REAL ESTATE INVESTMENT<br />

A better buy plan<br />

BACK OFFICE<br />

40 ON THE RECORDS<br />

Keeping behind the corporate veil<br />

GREENSHEETS<br />

42 CARBON FOOTPRINT 101, PART II<br />

What to expect from an LCA<br />

46 THE GREEN GLOSSARY<br />

Think wikipedia for the eco-minded<br />

6 Letter from the Editor<br />

50 Advertiser Index<br />

4 | <strong>InsideOutdoor</strong> | <strong>Spring</strong> 2008


Editor’s Letter<br />

Technology and Tent Stakes<br />

“Challenges and opportunities:” those two words summarize the retail technology<br />

landscape as succinctly as any two words can. And in many ways, they also<br />

encapsulate the state of the outdoor industry.<br />

With the former, the big challenges for specialty retailers involve taking the final<br />

steps in the migration off of legacy systems and completing the long-coming shift<br />

to “next-generation“ platforms, namely digital and Internet technologies. That final<br />

leap will demand justifying new investments; retiring existing assets, some before<br />

the end of their natural lives; and supporting some level of IT functionality at every<br />

individual store front.<br />

Indeed, the Internet has democratized technology, so it’s no longer just the CIOs<br />

and IT staffs of large chains and high-dollar retailers that have to consider its implications.<br />

Just about everyone in the more mainstream segments of retail will need<br />

to leverage increasing levels of retail technology just to keep pace with the opex<br />

reductions and boost to customer relationship management that will be enjoyed by<br />

most contestants on the playing field. With that in mind, Inside Outdoor’s coverage<br />

of retail technology is not limited to this special annual issue. Rather, examining the<br />

ways that technology can help retailers operate more efficiently and touch customers<br />

more creatively will be regular points of emphasis in every coming issue.<br />

Likewise, outdoor is facing some shifts, as well. As in the tech sector, legacy<br />

revenue streams are being pushed by new and emerging opportunities. Since the<br />

Outdoor Industry Association began tracking participation rates in 1998, for instance,<br />

the most popular outdoor activities -- camping, hiking, biking, canoeing -- have experienced<br />

virtually no periods of sustained year-over-year growth. Yet outdoor retail sales<br />

somehow have managed to grow at rates that exceed the annual growth rates of the<br />

overall U.S. non-auto retail sector. That seems to suggest other sales drivers are at<br />

play, and they are not hard to find: fitness, competitive events, trail running, climbing<br />

gyms, sustainability, nutrition, Web services.<br />

Still, the sagging participation rates of primary activities should not be taken lightly.<br />

As far as we can see, getting current customers outside more often -- where<br />

they discover new needs and wear out old gear -- remains the most reliable force<br />

behind the sales of outdoor product. Some would suggest the outdoor lifestyle being<br />

pushed further into the mainstream or “outdoor as fashion” are trends that can<br />

make up for flat sales in core sports participation. We’re just not so sure relying on<br />

what are essentially trend-driven movements is the best long-term business strategy<br />

moving forward, particularly when the lifecycle of fashion and cultural trends seem to<br />

grow shorter and shorter, while consumers seem to grow increasingly fickle. Fitness<br />

enthusiasts, for their part, also can be rather fickle, with the endless litany of “new<br />

and better ways” to get fit.<br />

That’s certainly not to suggest that new opportunities shouldn’t be pursued and<br />

embraced. Quite the contrary, and the outdoor industry can be commended on its<br />

collective willingness and adaptability during the past several years when it comes to<br />

discovering and integrating new sources of revenues and customers.<br />

Rather, the point is that the outdoor industry cannot forget those customer bases<br />

and legacy activities that reside deep within its foundation. “Rip and replace,” after<br />

all, is even harder to do with customers than it is to do with technology platforms.<br />

Martin Vilaboy<br />

Editor-in-Chief<br />

martin@bekapublishing.com<br />

Percy Zamora<br />

Art Director<br />

outdoor@bekapublishing.com<br />

Ernest Shiwanov<br />

Editor at Large<br />

ernest@bekapublishing.com<br />

Editorial Contributors:<br />

R.J. Anderson<br />

Philip Josephson<br />

Berge Kaprelian<br />

Group Publisher<br />

berge@bekapublishing.com<br />

Jennifer Vilaboy<br />

Production Director<br />

jen@bekapublishing.com<br />

Suzanne Urash<br />

Ad Creative Designer<br />

suzanne@cre8groupinc.com<br />

Beka Publishing<br />

Berge Kaprelian<br />

President and CEO<br />

Philip Josephson<br />

General Counsel<br />

Jim Bankes<br />

Business Accounting<br />

Corporate Headquarters<br />

745 N. Gilbert Road<br />

Suite 124, PMB 303<br />

Gilbert, AZ 85234<br />

Voice: 480.503.0770<br />

Fax: 480.503.0990<br />

Email: berge@bekapublishing.com<br />

© 2008 Beka Publishing, All rights reserved.<br />

Reproduction in whole or in any form or<br />

medium without express written permission<br />

of Beka Publishing, is prohibited. Inside<br />

Outdoor and the Inside Outdoor logo are<br />

trademarks of Beka Publishing<br />

MV<br />

6 | <strong>InsideOutdoor</strong> | <strong>Spring</strong> 2008


Data Points<br />

Numbers Worth Noting<br />

by Martin Vilaboy<br />

Returns and Retention<br />

Retailers, for good reasons, are not too fond of merchandise<br />

returns, but unfortunately shoppers are. According to an annual<br />

consumer returns survey commissioned by Newgistics, Inc.<br />

and conducted by Harris Interactive, nine out of 10 direct<br />

shoppers cited a convenient returns policy as very important,<br />

important or somewhat important to encouraging them to<br />

shop with a new or unknown online or catalog retailer. More<br />

than two-thirds said the ability to make a return from home was<br />

very important or important when deciding whether to shop<br />

with an online or catalog retailer. On the flip side, 82 percent<br />

of direct shoppers said they are not likely to shop again with a<br />

direct retailer if the return process is inconvenient.<br />

Very<br />

likely<br />

Somewhat<br />

likely<br />

Not very<br />

likely<br />

Not at all<br />

likely<br />

Don’t<br />

know<br />

Very<br />

likely<br />

Somewhat<br />

likely<br />

Not very<br />

likely<br />

Not at all<br />

likely<br />

Don’t<br />

know<br />

Likelihood of shopping again if returns<br />

are CONVENIENT<br />

3%<br />

3%<br />

2%<br />

Source: Newgistics<br />

2%<br />

6%<br />

10%<br />

Source: Newgistics<br />

20%<br />

Likelihood of shopping again if returns<br />

are INCONVENIENT<br />

8 | <strong>InsideOutdoor</strong> | <strong>Spring</strong> 2008<br />

<br />

72%<br />

92%<br />

38%<br />

<br />

82%<br />

44%<br />

Stimulate This<br />

The National Retail Federation estimates the $42.9 billion<br />

will end up in retailers’ tills as a result of President Bush’s<br />

$168 billion dollar Economic Stimulus Plan, which will result<br />

in anywhere from $300 to $1,200 in the pockets of qualifying<br />

consumers. Retailers, however, appear less than confident<br />

about their chances of capitalizing on the opportunity. A good<br />

majority of retailers surveyed by Retail Systems Research said<br />

they will not be making adjusting this spring in order to capture<br />

any lift in spending.<br />

Money Left on the Table?<br />

Will your company be adjusting you current plans to capture<br />

additional revenue from the Economic Stimulus Plan?<br />

35% 65%<br />

Retail Formats with Below Average Sales Gr<br />

Are you planning to increase your inventory levels to meet<br />

increased demand from the Stimulus Plan?<br />

37% 63%<br />

10<br />

Will you be planning special promotions and events to<br />

capture additional sales from the 8.2% Stimulus Plan?<br />

8<br />

Yes<br />

No<br />

77% 23%<br />

Source: Retail Systems Research 6.5%<br />

5.9%<br />

5.5%<br />

6<br />

4.7% 4.7% 4.6% 4.9%<br />

Four Reviews Before Buying Online 4.4% 4.3% 4.2% 4.3%<br />

As much as 684<br />

3.5<br />

percent of online shoppers read at least 2.6%<br />

four reviews before making a purchase, according to data from<br />

2<br />

joint research by PowerReviews and the e-tailing group. The<br />

companies surveyed 1,200 consumers who shopped online at<br />

0<br />

least four times per year and spent at least $500 in aggregate<br />

and found that almost -2 a quarter of the respondents checked at<br />

least eight reviews or more before deciding to buy.<br />

Some 22 percent -4 of respondents said that they “always”<br />

read reviews before making a purchase, while more than four<br />

Source: Newgistics<br />

in 10 said they checked ratings and reviews “most of the time.”<br />

In contrast, just 2 percent of the online shoppers surveyed<br />

said that they “never” read reviews in advance. And a recent<br />

Avenue A|Razorfish study Non-auto found Retail that Sales 55 percent Growth of Around online the Glo<br />

shoppers chose user reviews most frequently when conducting<br />

product research — more Russia than double the 22 percent that used<br />

Nigeria<br />

comparison charts or expert reviews (21 percent).<br />

12.8%<br />

Turkey<br />

11.2%<br />

Indonesia<br />

10.6%<br />

Most Desired Features Vietnam on Retail Web Sites* 10.4%<br />

India<br />

Features<br />

% of Respondents Choosing<br />

10.4%<br />

Philippines<br />

9.7%<br />

User ratings and reviews Argentina 64%<br />

9.6%<br />

Special offers and couponsChina<br />

61%<br />

8.9%<br />

South Africa<br />

7.9%<br />

Videos Thailand 48%<br />

7.7%<br />

Personalization capabilities Mexico 37% 7.2%<br />

Malaysia<br />

7.1%<br />

Games and quizzes 29%<br />

Brazil<br />

6.6%<br />

Source: Forrester Research; Spain *Included consumer electronics, 6.0% travel and banking<br />

sites—key drivers of e-commerce Australiain the U.S.<br />

5.7%<br />

United States<br />

5.2%<br />

South Korea<br />

5.1%<br />

Canada<br />

4.7%<br />

Poland<br />

4.6%<br />

United Kingdom<br />

4.1%


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Very<br />

likely<br />

Somewhat<br />

likely<br />

Not very<br />

likely<br />

Not at all<br />

likely<br />

Don’t<br />

know<br />

Very<br />

likely<br />

Somewhat<br />

likely<br />

Not very<br />

likely<br />

Not at all<br />

likely<br />

Don’t<br />

know<br />

3%<br />

Worker Rights and Wrongs<br />

3%<br />

Employee costs have risen more than 30 percent in the last<br />

five years 2% according to American Business Research. At the<br />

same time, keeping good employees is as crucial as ever. The<br />

ABR survey, for example, reported that 69 percent of customers<br />

stop doing business with a company due to poor service from<br />

Source: Newgistics<br />

employees. What’s more, 96 percent of unhappy customers do<br />

not complain to the establishment but on average tell two other<br />

people about their unsatisfying experience.<br />

All the while, one in every 28.2 employees was apprehended<br />

Likelihood of shopping again if returns<br />

for theft from their employer, says ABR, and just 4.6 percent of<br />

are INCONVENIENT<br />

total retail theft losses resulted in a recovery. In other words, for<br />

every $1 recovered by companies, $20.76 was lost to retail theft.<br />

6%<br />

Internet 10% Accounts for 8% of<br />

Sports Gear Sales<br />

According to figures pulled together 38% by the National<br />

Sporting Goods Association, purchases of sports equipment 82% on<br />

the Internet have gone from 1.4 percent of 44% the total equipment<br />

market in 1999 to 8.1 percent in 2006. In dollars, that’s from $300<br />

million to 2% just less than $2 billion. Since 2000, this represents a<br />

166 percent increase in Internet sports equipment purchases.<br />

Purchases of sports equipment in all channels, by comparison,<br />

rose Source: 14 Newgistics percent in that same time period.<br />

Interestingly enough, NSGA figures show sales of<br />

sports gear over the Internet dipping slightly in 2006<br />

from 2005 figures, suggesting that the growth in<br />

e-commerce sales of sports gear may be leveling off.<br />

1999<br />

20%<br />

Data Points<br />

Sports Internet Sales<br />

10.0%<br />

9.0%<br />

8.0%<br />

7.0%<br />

6.0%<br />

5.0%<br />

4.0%<br />

3.0%<br />

2.0%<br />

1.0%<br />

0%<br />

Source: NSGA<br />

2000<br />

2001<br />

Equipment<br />

2002<br />

Footwear<br />

Linear (Equipment)<br />

Linear (Footwear)<br />

2003<br />

2004<br />

<br />

72%<br />

2005<br />

92%<br />

2006<br />

How Does Your VoIP Service Compare to Your Old Service<br />

(Among companies with 100 or fewer employees that have adopted VoIP)<br />

10 | <strong>InsideOutdoor</strong> | <strong>Spring</strong> 2008<br />

100<br />

10<br />

8<br />

6<br />

4<br />

2<br />

Malaysia<br />

Brazil<br />

Spain<br />

6.0%<br />

Anxiety about sharing personal data is the biggest barrier<br />

Australia<br />

5.7%<br />

to consumer United acceptance States of mobile banking 5.2% and commerce,<br />

with two-thirds South (66 Korea percent) of respondents 5.1% saying so, say<br />

Harris figures.<br />

Taiwan<br />

Service<br />

Italy<br />

France 2.9%<br />

Check bank account balance/transfer/funds<br />

Sweden<br />

35%<br />

2.8%<br />

Receive text message Germany alerts 2.2% 33%<br />

Mobile wallet Switzerland 1.3% 19%<br />

Shopping Japan 0.8% 16%<br />

Wire transfer 9%<br />

Stock trading 9%<br />

Other Source: OECD and TNS Retail Forward 3%<br />

None of the above 53%<br />

Source: Harris Interactive<br />

8.2%<br />

4.7%<br />

6.5%<br />

4.7%<br />

5.9%<br />

4.6% 4.9%<br />

4.4%<br />

5.5%<br />

Buying and Banking On-the-Go<br />

A new Harris Interactive study shows that one in four cell<br />

phone subscribers 0 with mobile Internet access now use their<br />

devices to buy goods and services online with a credit card, and<br />

nearly one in five -2say they would like to someday use cell phones<br />

as a “mobile wallet,” where charges would be billed directly<br />

to their mobile -4accounts. Consumers not currently banking or<br />

buying on-the-go expressed at least some interest in having such<br />

Source: Newgistics<br />

applications on their mobile phones, say Harris researchers. It<br />

should be noted, however, that among the more than 250 million<br />

mobile phone subscribers in the U.S., only about 30 to 40 million<br />

Non-auto Retail Sales Growth Around the Globe<br />

currently take a mobile data plan, and adoption rates of mobile<br />

Internet services have been a bit slower during the past few<br />

Russia<br />

years than the mobile carriers had hoped for.<br />

15.4<br />

Nigeria<br />

12.8%<br />

Turkey<br />

11.2%<br />

Frequency of Indonesia Making Purchases with Mobile Phones 10.6%<br />

(% of owners surveyed)<br />

Vietnam<br />

10.4%<br />

India<br />

10.4%<br />

Frequency<br />

Philippines<br />

Mobile Phone Smartphone<br />

9.7%<br />

Daily Argentina 1% 5% 9.6%<br />

Weekly China 1% 4% 8.9%<br />

Monthly<br />

South Africa<br />

4% 1% 7.9%<br />

Occasionally<br />

Thailand<br />

17% 25% 7.7%<br />

Mexico<br />

7.2%<br />

Source: Harris Interactive<br />

7.1%<br />

6.6%<br />

Canada<br />

4.7%<br />

Poland<br />

4.6%<br />

United Kingdom<br />

4.1%<br />

Interest in Banking, BelgiumCommerce 4.0% or Investment Apps<br />

for Mobile Device Netherlands<br />

3.6%<br />

3.6%<br />

3.0%<br />

Interest<br />

(% of respondents)<br />

4.3% 4.2% 4.3%<br />

Business Challenges Driving the Use<br />

More Minorities Shopping Online<br />

of Customer-Driven Business Intelligence<br />

According to a new report from The Media Audit, online<br />

shopping by African-Americans, Must be able to respond Asians, more quickly Hispanics and other<br />

minorities has increased<br />

to changes<br />

dramatically<br />

in consumer<br />

during<br />

demand<br />

the past five years.<br />

Need a better match between<br />

After surveying adults in 88 products markets, and customers Media Audit found that<br />

about 41 percent of Must both improve African-Americans customer service and Hispanics<br />

now shop online, compared without increasing to about payroll 27 costspercent five years<br />

ago. Among Asians, 70 percent Difficult now to differentiate shop online compared to<br />

from competitors<br />

56 percent five years ago. Overall, among all adults surveyed,<br />

Need to reduce out-of-stocks<br />

about 58 percent say they shop online.<br />

Need to reduce inventory<br />

and improve turns<br />

Rapid growth is driving us into new<br />

markets - need better store selection tools<br />

3.5% 3.9<br />

2.6%<br />

0 5 10 15


Very<br />

likely<br />

Somewhat<br />

likely<br />

Not very<br />

likely<br />

Not at all<br />

likely<br />

Don’t<br />

know<br />

Very<br />

likely<br />

Somewhat<br />

likely<br />

Not very<br />

likely<br />

Not at all<br />

likely<br />

Don’t<br />

know<br />

3%<br />

Worker Rights and Wrongs<br />

3%<br />

Employee costs have risen more than 30 percent in the last<br />

five years 2% according to American Business Research. At the<br />

same time, keeping good employees is as crucial as ever. The<br />

ABR survey, for example, reported that 69 percent of customers<br />

stop doing business with a company due to poor service from<br />

Source: Newgistics<br />

employees. What’s more, 96 percent of unhappy customers do<br />

not complain to the establishment but on average tell two other<br />

people about their unsatisfying experience.<br />

All the while, one in every 28.2 employees was apprehended<br />

Likelihood of shopping again if returns<br />

for theft from their employer, says ABR, and just 4.6 percent of<br />

are INCONVENIENT<br />

total retail theft losses resulted in a recovery. In other words, for<br />

every $1 recovered by companies, $20.76 was lost to retail theft.<br />

6%<br />

Internet 10% Accounts for 8% of<br />

Sports Gear Sales<br />

According to figures pulled together 38% by the National<br />

Sporting Goods Association, purchases of sports equipment 82% on<br />

the Internet have gone from 1.4 percent of 44% the total equipment<br />

market in 1999 to 8.1 percent in 2006. In dollars, that’s from $300<br />

million to 2% just less than $2 billion. Since 2000, this represents a<br />

166 percent increase in Internet sports equipment purchases.<br />

Purchases of sports equipment in all channels, by comparison,<br />

rose Source: 14 Newgistics percent in that same time period.<br />

Interestingly enough, NSGA figures show sales of<br />

sports gear over the Internet dipping slightly in 2006<br />

from 2005 figures, suggesting that the growth in<br />

e-commerce sales of sports gear may be leveling off.<br />

1999<br />

20%<br />

Data Points<br />

Sports Internet Sales<br />

10.0%<br />

9.0%<br />

8.0%<br />

7.0%<br />

6.0%<br />

5.0%<br />

4.0%<br />

3.0%<br />

2.0%<br />

1.0%<br />

0%<br />

Source: NSGA<br />

2000<br />

2001<br />

Equipment<br />

2002<br />

Footwear<br />

Linear (Equipment)<br />

Linear (Footwear)<br />

2003<br />

2004<br />

<br />

72%<br />

2005<br />

92%<br />

2006<br />

How Does Your VoIP Service Compare to Your Old Service<br />

(Among companies with 100 or fewer employees that have adopted VoIP)<br />

10 | <strong>InsideOutdoor</strong> | <strong>Spring</strong> 2008<br />

100<br />

10<br />

8<br />

6<br />

4<br />

2<br />

Malaysia<br />

Brazil<br />

Spain<br />

6.0%<br />

Anxiety about sharing personal data is the biggest barrier<br />

Australia<br />

5.7%<br />

to consumer United acceptance States of mobile banking 5.2% and commerce,<br />

with two-thirds South (66 Korea percent) of respondents 5.1% saying so, say<br />

Harris figures.<br />

Taiwan<br />

Service<br />

Italy<br />

France 2.9%<br />

Check bank account balance/transfer/funds<br />

Sweden<br />

35%<br />

2.8%<br />

Receive text message Germany alerts 2.2% 33%<br />

Mobile wallet Switzerland 1.3% 19%<br />

Shopping Japan 0.8% 16%<br />

Wire transfer 9%<br />

Stock trading 9%<br />

Other Source: OECD and TNS Retail Forward 3%<br />

None of the above 53%<br />

Source: Harris Interactive<br />

8.2%<br />

4.7%<br />

6.5%<br />

4.7%<br />

5.9%<br />

4.6% 4.9%<br />

4.4%<br />

5.5%<br />

Buying and Banking On-the-Go<br />

A new Harris Interactive study shows that one in four cell<br />

phone subscribers 0 with mobile Internet access now use their<br />

devices to buy goods and services online with a credit card, and<br />

nearly one in five -2say they would like to someday use cell phones<br />

as a “mobile wallet,” where charges would be billed directly<br />

to their mobile -4accounts. Consumers not currently banking or<br />

buying on-the-go expressed at least some interest in having such<br />

Source: Newgistics<br />

applications on their mobile phones, say Harris researchers. It<br />

should be noted, however, that among the more than 250 million<br />

mobile phone subscribers in the U.S., only about 30 to 40 million<br />

Non-auto Retail Sales Growth Around the Globe<br />

currently take a mobile data plan, and adoption rates of mobile<br />

Internet services have been a bit slower during the past few<br />

Russia<br />

years than the mobile carriers had hoped for.<br />

15.4<br />

Nigeria<br />

12.8%<br />

Turkey<br />

11.2%<br />

Frequency of Indonesia Making Purchases with Mobile Phones 10.6%<br />

(% of owners surveyed)<br />

Vietnam<br />

10.4%<br />

India<br />

10.4%<br />

Frequency<br />

Philippines<br />

Mobile Phone Smartphone<br />

9.7%<br />

Daily Argentina 1% 5% 9.6%<br />

Weekly China 1% 4% 8.9%<br />

Monthly<br />

South Africa<br />

4% 1% 7.9%<br />

Occasionally<br />

Thailand<br />

17% 25% 7.7%<br />

Mexico<br />

7.2%<br />

Source: Harris Interactive<br />

7.1%<br />

6.6%<br />

Canada<br />

4.7%<br />

Poland<br />

4.6%<br />

United Kingdom<br />

4.1%<br />

Interest in Banking, BelgiumCommerce 4.0% or Investment Apps<br />

for Mobile Device Netherlands<br />

3.6%<br />

3.6%<br />

3.0%<br />

Interest<br />

(% of respondents)<br />

4.3% 4.2% 4.3%<br />

Business Challenges Driving the Use<br />

More Minorities Shopping Online<br />

of Customer-Driven Business Intelligence<br />

According to a new report from The Media Audit, online<br />

shopping by African-Americans, Must be able to respond Asians, more quickly Hispanics and other<br />

minorities has increased<br />

to changes<br />

dramatically<br />

in consumer<br />

during<br />

demand<br />

the past five years.<br />

Need a better match between<br />

After surveying adults in 88 products markets, and customers Media Audit found that<br />

about 41 percent of Must both improve African-Americans customer service and Hispanics<br />

now shop online, compared without increasing to about payroll 27 costspercent five years<br />

ago. Among Asians, 70 percent Difficult now to differentiate shop online compared to<br />

from competitors<br />

56 percent five years ago. Overall, among all adults surveyed,<br />

Need to reduce out-of-stocks<br />

about 58 percent say they shop online.<br />

Need to reduce inventory<br />

and improve turns<br />

Rapid growth is driving us into new<br />

markets - need better store selection tools<br />

3.5% 3.9<br />

2.6%<br />

0 5 10 15


Retail Odyssey<br />

2015<br />

Shifts in consumer behavior raise the relevance<br />

of retail technology investments<br />

by Martin Vilaboy<br />

and efficiency become<br />

significantly more important during<br />

times of economic uncertainty,” says<br />

“Technology<br />

Scott Kreisberg, CEO of One Step Retail<br />

Solutions, a provider of point of sale software for<br />

small to mid-sized retailers.<br />

Kreisberg’s words certainly contain an element of<br />

common sense, but his assessment may or may not<br />

carry weight with those who control retail capital expenditure<br />

budgets, particularly those within the ranks<br />

of small to mid-sized retailers.<br />

What appears more certain, however, is the closure<br />

of some longer-term cycles and the maturing of<br />

a few trends that will “drive more change in the way<br />

consumers shop in the next 10 years than it has in<br />

the last 20 years,” according to a study on the future<br />

12 | <strong>InsideOutdoor</strong> | <strong>Spring</strong> 2008


ADAPTIVE COMFORT


ource: Newgistics<br />

of retail from TNS Retail Forward and PricewaterhouseCoopers.<br />

And everywhere one looks, it’s technology of some<br />

sort that is a key enabler, cause or requirement of the<br />

coming changes. Specifically, that includes technological<br />

advancements in the areas of connectivity and<br />

collaboration (wireline and wireless), customer and<br />

real-time data mining and management, predictive capabilities<br />

and multimedia. A bit further down the road<br />

await a few emerging technologies such as biometrics,<br />

including facial, voice and fingerprint recognition; iris<br />

and retinal scanning; and self-activated agents that will<br />

perform routine tasks without human intervention.<br />

“Technology will be 72% pervasive in 2015,” researchers<br />

from TNS Retail Forward and PricewaterhouseCoopers<br />

92%<br />

predict. “Falling costs, widespread availability and adoption<br />

of devices, a working infrastructure and standardization<br />

will accelerate the integration of technology.”<br />

Indeed, in the retail reality of the next decade, technology-based<br />

platforms and solutions that are considered<br />

the “gold standard” today will move closer to<br />

mainstream adoption levels, the study suggest. That’s<br />

true even for small to mid-sized retailers, for whom<br />

technology traditionally has not been a top priority, as<br />

the emphasis behind tech investments continues to shift<br />

from being a means of increasing efficiencies to being a<br />

key asset for customer retention and business success.<br />

At the core, of course, is the Web and Internet protocol,<br />

or IP, which often is thought of as simply meaning<br />

“on the public Internet,” yet IP means so much more.<br />

One big reason why Internet technologies will become<br />

vastly more important is because “e-commerce” represents<br />

the only way for many retailers without a global<br />

footprint to compete globally. And make no mistake, the<br />

rapid ascent of the middle-class in developing countries<br />

around the global is where most everyone expects largescale<br />

growth to come<br />

38%<br />

<br />

from during the next several years.<br />

Assuming that barriers to global 82% trade continue to<br />

come down, while developing<br />

44%<br />

markets continue to<br />

phase out restrictions on foreign retailer operations and<br />

liberalize regulation of direct foreign investment, retailers<br />

in 2015 “will do business in a true global economy<br />

– global customer base, global sourcing, global outsourcing<br />

pool, global reach,” the TNS and PwC study<br />

predicts. “Global scope will be a necessity, not an option,<br />

to grow the top line and bolster the bottom line.”<br />

All the while, global sourcing will become a critical<br />

component of differentiated assortments at competitive<br />

price points.<br />

Retail issues in developed markets around the<br />

globe, meanwhile, “basically will be a mirror image of<br />

issues confronted by the U.S. economy – aging populations,<br />

shrinking share of retail spending and increased<br />

spending on healthcare,” says PwC and TNS Retail<br />

Forward. “In contrast, populations in developing<br />

markets will remain relatively young and will increase<br />

share of retail spending.”<br />

ikelihood of shopping again if returns<br />

re CONVENIENT<br />

3%<br />

3%<br />

2%<br />

2%<br />

6%<br />

10%<br />

ource: Newgistics<br />

20%<br />

ikelihood of shopping again if returns<br />

re INCONVENIENT<br />

ports Internet Sales<br />

0.0%<br />

9.0%<br />

8.0%<br />

7.0%<br />

6.0%<br />

5.0%<br />

4.0%<br />

3.0%<br />

2.0%<br />

14 | <strong>InsideOutdoor</strong> | <strong>Spring</strong> 2008<br />

Developing markets, meanwhile, will continue to<br />

build their pool of university-educated labor and talent,<br />

say analysts, shifting the nucleus of knowledge<br />

workers. “Trend-spotters will want to set up camp in<br />

developing markets, especially Asia, which will begin<br />

to eclipse developed markets as a hotbed of cultural<br />

and retail market influence,” argue PwC and TNS Retail<br />

Forward analysts.<br />

“Most major retailers will be out of expansion room<br />

in the United Retail States Formats for with their Below core concepts Average by Sales 2015,” Growth<br />

they warn. In other words, very few formats will grow<br />

at a rate exceeding the overall retail sales growth rate,<br />

10<br />

and most areas will experience slowing rates of growth<br />

8.2%<br />

compared to earlier in the millennium, according to forecasts<br />

from the U.S. 6.5% Department of Commerce. “Players<br />

8<br />

5.9%<br />

will need to turn elsewhere for growth—new 5.5%<br />

6<br />

concepts,<br />

4.7%<br />

new customer segments,<br />

4.7% 4.6% 4.9%<br />

new geography, 4.4% 4.3% new 4.2% categories,”<br />

4says PwC and TNS Retail Forward.<br />

3.5% 3.9% 3.5%<br />

4.3%<br />

2.6%<br />

2.6% 3.1%<br />

That’s not the best news for U.S.-based companies<br />

looking 2 to expand globally, as large European retailers<br />

already have a bit of a head start when it comes to<br />

operating 0 on an international scale.<br />

And going global is not just about large scale growth.<br />

-2<br />

In many ways, what makes the Internet’s much ballyhooed<br />

long tail worth wagging is the affordable access<br />

-4<br />

it provides to geographic expansion, since that is precisely<br />

what Source: facilitates Newgistics “economies of small-scale,” so to<br />

speak. In other words, global scale may be the only way<br />

Non-auto Retail Sales Growth Around the Globe<br />

Russia<br />

15.4%<br />

Nigeria<br />

12.8%<br />

Turkey<br />

Indonesia<br />

Vietnam<br />

India<br />

Philippines<br />

Argentina<br />

China<br />

South Africa<br />

Thailand<br />

Mexico<br />

Malaysia<br />

Brazil<br />

Spain<br />

Australia<br />

United States<br />

South Korea<br />

Canada<br />

Poland<br />

United Kingdom<br />

Belgium<br />

Netherlands<br />

Taiwan<br />

Italy<br />

France<br />

Sweden<br />

Germany<br />

Switzerland<br />

Japan<br />

11.2%<br />

10.6%<br />

10.4%<br />

10.4%<br />

9.7%<br />

9.6%<br />

8.9%<br />

7.9%<br />

7.7%<br />

7.2%<br />

7.1%<br />

6.6%<br />

6.0%<br />

5.7%<br />

5.2%<br />

5.1%<br />

4.7%<br />

4.6%<br />

4.1%<br />

4.0%<br />

3.6%<br />

3.6%<br />

3.0%<br />

2.9%<br />

2.8%<br />

2.2%<br />

1.3%<br />

0.8%<br />

0 5 10 15 20<br />

Source: OECD and TNS Retail Forward


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1999<br />

Must<br />

to generate sufficient volume to make the long tail Business be able to respond Challenges more quickly<br />

Equipment<br />

Driving the Use<br />

to changes in consumer demand<br />

economically productive for lots of players. And of Customer-Driven Business Intelligence<br />

Footwear<br />

Need a better match between<br />

Linear (Equipment) over the next decade or so, argues Elaine Pollock,<br />

products and customers<br />

Must be<br />

Equipment executive vice president at TNS Retail Forward<br />

Must able improve to respond customer more service quickly<br />

Linear (Footwear)<br />

to without changes increasing consumer payroll demand costs<br />

Footwear and lead author of the Retailing 2015 study, it’s<br />

Need a better match between<br />

Linear (Equipment) likely we will see a decline in the “mass-appeal approach”<br />

to retailing in favor of “niche merchandis-<br />

Must improve customer service<br />

products<br />

Difficult to<br />

and<br />

differentiate<br />

A<br />

from competitors<br />

customers<br />

Linear (Footwear)<br />

without Need to increasing reduce out-of-stocks payroll costs<br />

ing” and personalization.<br />

s Your VoIP Service Compare to Your Old Service<br />

Need Difficult to reduce to differentiate inventory<br />

GA<br />

panies with 100 or fewer employees “The Internet that have will adopted exert VoIP) more influence—continuing<br />

and from improve competitors turns<br />

to grow rapidly as a retail channel, but, Rapid growth Need to is reduce driving out-of-stocks us into new<br />

markets - need better store selection tools<br />

even more importantly, continuing to grow exponentially<br />

as the conduit to the vast marketplace<br />

and<br />

s Your VoIP Service Compare to Your Old Service<br />

Fragmented<br />

Need<br />

views<br />

to reduce inventory<br />

of our<br />

improve<br />

customers<br />

panies with 100 or fewer employees that have adopted VoIP)<br />

are costing us sales<br />

turns<br />

outside traditional space,” she says.<br />

Rapid growth is driving us into new<br />

markets - need better Need store to selection reduce shrink tools<br />

Along with other emerging trends, such as demographic<br />

dichotomies and household downsiz-<br />

are costing us sales 0 0.5 1<br />

Fragmented views of our customers<br />

84%<br />

84% 60% ing, 64% consumers’ instantaneous access to infinite<br />

80% 92%<br />

A Lot of Need Influence to reduce shrink No Influence<br />

choices online 84% and 92% the growing ability for consumers<br />

8% to remix, adapt or create what they cannot find<br />

0 0.5 1<br />

Some Influence<br />

84% 24% 60% will 64% begin to splinter mainstream retail into smaller<br />

niche offerings, 84% 92%<br />

80% 92%<br />

A Lot of Influence No Influence<br />

84%<br />

Source: Retail Systems Research<br />

8% 8% 28%<br />

suggests Pollock, even down<br />

16%<br />

16%<br />

12% 4% 4%<br />

Some Influence<br />

8% 8% to 8% “units of one.” Constant connectivity and the<br />

4% 4% 4% 4%<br />

24%<br />

anywhere/anyway/anytime access to products<br />

Source: Retail Systems Research<br />

8% 8% and 28% information 16% is leading to what PwC and TNS<br />

16%<br />

12% 4% 4%<br />

8% 8% call “perfect 4% product 4% 4% access” 4% – availability of the<br />

right product, at the right place, at the right time – Opportunities Retailers See to Improve<br />

orse About the Same VoIP Better<br />

which in turn allows shoppers to buy less of “what Satisfaction Across All Channels<br />

is popular” and more of “what suits them.”<br />

tar<br />

In a global e-commerce economy, notions such Opportunities Create single Retailers brand See to Improve 87%<br />

12%<br />

orse About the Same VoIP Better<br />

identity across all channels<br />

as “limited editions,” customization and “fast fashion”<br />

will replace “stack it high and let it fly” as the take delivery or return a item<br />

65%<br />

23% 12%<br />

Satisfaction Across All Channels<br />

Allow customers to purchase,<br />

tar<br />

Create across single channels brand<br />

u recommend VoIP profitability service to mantra, Pollock and her team argue.<br />

87%<br />

12%<br />

Allow inventory<br />

identity<br />

allocated<br />

across all<br />

from<br />

channels<br />

one<br />

ness peers? The general rule of thumb that 80 percent of sales<br />

47% 36% 16%<br />

channel Allow customers be used to for purchase, another<br />

come from 20 percent of SKUs may no longer apply, take delivery or return a item<br />

65%<br />

23% 12%<br />

Improve operational across execution channels<br />

u recommend VoIP as service the other to 80 percent of units could represent an<br />

71% 26%<br />

Allow inventory allocated<br />

across all<br />

from<br />

channels<br />

one<br />

ness peers? increasing share of sales and profits.<br />

47% 36% 16%<br />

100<br />

channel to be used for another<br />

34% 21% 39%<br />

<<br />

Offer customized and<br />

“The economics of scarcity will Employees<br />

35% 51% 14%<br />

give way to the<br />

Improve<br />

unique<br />

operational<br />

product<br />

execution<br />

offering<br />

71% 26%<br />

economics of abundance,” Pollock says.<br />

Explore across new all channels,<br />

Granted, online sales currently account for only<br />

(i.e. mobile phones) 26% 40% 34%<br />

100<br />

34% 21% 39%<br />

<<br />

Offer customized and 35% 51% 14%<br />

about 7 percent of sales among outdoor<br />

Employees<br />

stores with Consistent unique and clear product explanation offering<br />

an e-commerce-enable Web presence, according<br />

of product features and<br />

61% 33% 6%<br />

100<br />

information Explore across new channels,<br />

24% to figures from 52%<br />

><br />

Outdoor Industry Association. But<br />

(i.e. mobile phones) 26% 40% 34%<br />

Employees<br />

Improve our promotional<br />

53% 38% 9%<br />

there is more to it than your Web site’s level of e- Consistent and clear effectiveness explanation<br />

of product features and<br />

61% 33% 6%<br />

commerce enablement or “online sales” 100 in the traditional<br />

60 sense. It’s about 80 consumers’ 100 Employees<br />

Very Important<br />

Not very important<br />

information across channels<br />

24% 52%<br />

><br />

20 40 expectations, and<br />

Improve our promotional<br />

53% 38% 9%<br />

the challenges the retail industry faces in its attempt<br />

effectiveness Somewhat Important<br />

20<br />

2 to 3become more 4 customer-centric 5 in a world where<br />

40 customers 60 are more 80diverse, 100 more educated, more<br />

Source: Retail Systems ResearchVery Important<br />

Not very important<br />

mmend Recommend demanding and Highly fully Recommend able to go somewhere else to<br />

Somewhat Important<br />

2 get 3exactly what 4 they want the 5 way they want it.<br />

Consumers, therefore, says Brian Kilcourse, managing<br />

partner for Retail Systems Research, “no longer<br />

Source: Retail Systems Research<br />

tar<br />

Consider, for example, a recent Harris Poll commissioned<br />

mmend<br />

tar<br />

by Chordiant Software in which a full 95<br />

Recommend Highly Recommend<br />

percent of consumer respondents said it was at least<br />

somewhat important that companies know “who I am,<br />

my buying history, past problems or complaints, preferences<br />

and billing records.” More than a third said<br />

knowledge of their personal history was important<br />

and more than a quarter said it was very important.<br />

see retailers’ traditional differentiators (product availability<br />

and price) as sufficient to win their loyalty.”<br />

So it’s not surprising that more than 50 percent of<br />

retailers responding to an in-store technology survey<br />

said their biggest challenge lying ahead is improving<br />

customer service while holding the line on cost, versus<br />

the 28 percent who said it was the troubling economic<br />

1999<br />

, Adds,<br />

Changes<br />

s, Adds,<br />

Changes<br />

2000<br />

2000<br />

Management<br />

Management<br />

2001<br />

2001<br />

Call Quality<br />

Call Quality<br />

2002<br />

2002<br />

Reliability<br />

Reliability<br />

2003<br />

2003<br />

Routing<br />

Routing<br />

2004<br />

2004<br />

Features<br />

Features<br />

2005<br />

Capacity<br />

2005<br />

Capacity<br />

2006<br />

2006<br />

Multi-Location<br />

Multi-Location<br />

16 | <strong>InsideOutdoor</strong> | <strong>Spring</strong> 2008<br />

Business Challenges Driving the Use<br />

of Customer-Driven Business Intelligence


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owth Around the Globe<br />

picture. 15.4% Incidentally, among the “retail winners”<br />

12.8% surveyed by Retail Systems Research,<br />

11.2% defined as those retail companies that outperform<br />

the pack in a number of key performance<br />

10.6%<br />

10.4%<br />

10.4% indicators, virtually none cited the economy as<br />

9.7% their biggest challenge, says Kilcourse.<br />

9.6%<br />

“Gas may be at an all-time high and projected<br />

to climb in the next few weeks, and [the<br />

8.9%<br />

7.9%<br />

7.7% consumer] may have to trade down in product<br />

7.2%<br />

quality, but she still expects retailers to know<br />

7.1%<br />

.6%<br />

her and cater to her needs,” says Paula Rosenblum,<br />

Retail Systems Research analyst.<br />

%<br />

One upshot of this transition to “demandbased<br />

management” (what the customer<br />

wants versus what the customer is forced to<br />

purchase) is an increasing investment in the<br />

management of customer data and the ability<br />

to react to real-time information. Customer<br />

data will be used not just for marketing and<br />

mailings or to identify best customers but will<br />

become a key asset to retailers, says Pollock,<br />

directly tied to inventory planning, anticipating<br />

customers’ desires and managing the business<br />

through business intelligence.<br />

10 It 15 also will require 20 whole new levels of vendor<br />

collaboration and total visibility. And, of course,<br />

d<br />

higher levels of security will be a prerequisite.<br />

“Demand-based management can succeed only<br />

with real-time data information delivered through<br />

increasingly newer forms of technology delivery systems,”<br />

says PwC and TNS Retail Forward.<br />

iving the Use<br />

Meanwhile, retail brands that provide access to the<br />

cross-channel fulfillment, say RSR surveys. Among<br />

those that don’t, the top organizational inhibitor currently<br />

presenting a barrier to becoming an efficient<br />

multi-channel retailer was legacy technologies.<br />

Again, this is more than online sales versus brick<br />

Top Concerns/Challenges that SMB Retailers Say They Face<br />

and mortar sales. Rather, Pollock and her peers fully<br />

expect a melding of the two. In the coming decade,<br />

they Real-Time argue, Visibility online efficiencies and automation will<br />

iness Intelligence<br />

same information and inventory through multiple channels<br />

will have a distinct competitive advantage, Kil-<br />

all manner of interactive kiosks and digital media,<br />

Throughout be introduced the organizationinto the brick-and-mortar world, and<br />

High Staff Turnover<br />

course suggests. “Multi-channel retailing has become inextricably<br />

intertwined with consumers’ sense of what a nectivity will bring unprecedented levels of infor-<br />

smart carts, location-based advertising and IP con-<br />

retailer’s brand value is relative to their lifestyle needs.” mation-delivery Capital Constraints and extended product accessibility<br />

Already, more than 60 percent of “retail winners,” directly to the sales floor, even to the point of creating<br />

“endless aisles.”<br />

as defined by Retail Systems Research, say they enable<br />

Store-Level IT Investment<br />

“Interactions will be increasingly natural, such as<br />

Technology Enablers for<br />

voice activation,” say PwC and TNS analysts. “Selfactivated<br />

Expectations agents will perform routine tasks without<br />

Meeting High Customer<br />

More Customer-Centric Approach<br />

Must be capable of capturing accurate human intervention.”<br />

Modern POS<br />

product and customer information on each It’s a lot to keep 0 10 20 30 40 50 60<br />

tabs on, for sure. Managing complexity<br />

and diversity in a business that Percentage must span of the Respondents globe<br />

transaction<br />

Channel transparency<br />

“One view” of the customers across all<br />

channels<br />

while also SMBreaching out<br />

All<br />

to<br />

Retailers<br />

“the niche of one” presents a<br />

huge challenge for retailers both large and small.<br />

Winners reduce or even eliminate data and<br />

Continuous updates analytic latencies, starting with continuous<br />

Source: An unstable Gartner Group economy doesn’t make things easier,<br />

0 0.5 1feeds from selling environment<br />

and likely will lead to longer sales cycles for retail<br />

No Influence<br />

technology vendors and more due diligence on the<br />

Segregated data<br />

Used for subsequent analysis (reduces<br />

impact on transaction systems)<br />

part of retailers.<br />

Retail winners, however, are fully aware that in<br />

Simply GUI<br />

Retailers want an interface that has the<br />

look and feel of a spreadsheet<br />

both How the Winners worst of Focus times on and Customer-Centricity<br />

the best of times, focus<br />

Provide canned reports<br />

Winners generate regular production of<br />

standard reports from production systems<br />

using “reporting tools”<br />

Source: Retail Systems Research<br />

See to Improve<br />

18 | <strong>InsideOutdoor</strong> | <strong>Spring</strong> 2008<br />

Channels<br />

Multi-channel Initiative that Have or Could Have Impact<br />

Ensuring product information<br />

and pricing is up to date and<br />

consistent across channels<br />

Enabling cross-channel<br />

fulfillment<br />

Cross selling and<br />

personalized promotions<br />

Same day shipping & simple,<br />

consistent returns<br />

Synchronizing customer<br />

and inventory information<br />

across channels<br />

Enabling real time views of<br />

cross-channel inventory<br />

Information sharing with<br />

merchandise vendors on<br />

product features and availability<br />

Winners<br />

Source: Retail Systems Research<br />

0 20% 40% 60% 80%<br />

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Heeding<br />

the CALL<br />

of IP Telephony<br />

Providers of advanced communications<br />

solutions DIAL INTO specialty retail<br />

by Martin Vilaboy<br />

Small and specialty brick-and-mortar retail operations<br />

haven’t exactly been a primary target for<br />

providers of data and communications services.<br />

That’s probably no surprise, since most retailers<br />

connectivity needs have been fairly modest<br />

– T-1 Internet connections or less, a handful of phones,<br />

mostly local calling, with some messaging – certainly less<br />

than a few other small business verticals, such as small<br />

law and medical offices, tech start-ups, financial services<br />

and local banks, to name a few.<br />

But independent retailers, all of a sudden, have appeared<br />

squarely on the radar of providers of advanced<br />

and emerging connectivity and communications services.<br />

It’s not so much that specialty stores have seen dramatic<br />

changes in their voice and data needs, though changes in<br />

the way we all communicate are occurring. It’s more that<br />

20 | <strong>InsideOutdoor</strong> | <strong>Spring</strong> 2008


many retailers fit the mold of operations that stand to reap the<br />

most gains from the capabilities that can and are being wrought<br />

by advanced communications.<br />

Touting “enterprise-class functionality at small business prices”<br />

and overall savings in voices services spending, groups of advanced<br />

communications providers have zeroed in on businesses<br />

that operate multiple offices or branch locations (each with about<br />

five phone lines or less); owners-managers that need to be accessible<br />

but rarely can be found at their desks; employees who<br />

share desks and phone lines; modest local networking requirements<br />

with little or no “telecom equipment” on site; and some<br />

customer service functions moving to the Web. Sound familiar?<br />

For most purposes, we’re talking here primarily about “IP<br />

telephony,” also known as “VoIP,” or “voice over Internet protocol.”<br />

It’s important to note that while IP is short for “Internet<br />

protocol,” it doesn’t necessarily mean on or utilizing the public<br />

“Internet,” nor is it limited to PC-based calling. IP just happens<br />

to be the protocol behind the “Internet” we all know and use.<br />

In other words, while the much-advertised Vonage telephone<br />

service, for example, sends calls over the public Internet,<br />

other providers of IP communications have built private IPbased<br />

networks that in no way ever touch the public Internet,<br />

and therefore are not susceptible to the quality and reliability<br />

issues of the public Internet. But by being fully compatible and<br />

interoperable with the widely available and easy-to-access public<br />

Internet, IP networks allow providers to develop and deliver<br />

new and existing communications services much more affordably<br />

than ever before, often on a nationwide or global basis.<br />

Use of VoIP Products and Service by North American<br />

Businesses, 2005<br />

Small Businesses<br />

Medium-Sized<br />

Businesses<br />

Large Businesses<br />

14% 23% 36%<br />

Source: Infonetics Research<br />

For starters, on IP-based “packet switched” networks, time<br />

and distance are less relevant than in the old world of the “circuit<br />

switched” telephone networks, so the line between local<br />

and local distance calling has been blurred, and as such perminute<br />

pricing plans are all but disappearing, much as has happened<br />

with cell phone plans.<br />

So, if you currently are paying per-minute fees for long distance,<br />

and your monthly phone bill is significant, IP telephony<br />

services definitely should be a consideration moving forward.<br />

At the very least, IP telephony providers tend to offer free or<br />

unlimited “on-net” calling, such as the calls between dispersed<br />

branch locations.<br />

Of course, phones bill are a fairly modest chunk of retailer<br />

operating expenses, so even a good percentage of savings may<br />

not necessarily be enough to encourage a switch in telephony<br />

services. Savings can be driven further, however, by bundling<br />

landline voice services with other applications such as Internet<br />

access or even mobile services. The upside for subscribers<br />

of bundled plans are one point of contact for all services (i.e.<br />

one bill to pay) and discounts for buying multiple services<br />

from one provider.<br />

Source: 8.0% NSGA<br />

7.0%<br />

Linear (Footwear)<br />

6.0%<br />

How Does Your VoIP Service Compare to Your Old Service<br />

(Among 5.0% companies with 100 or fewer employees that have adopted VoIP)<br />

4.0%<br />

100<br />

3.0%<br />

2.0%<br />

801.0%<br />

60<br />

40<br />

20<br />

0<br />

9.0%<br />

0%<br />

68%<br />

12%<br />

8% Linear 8% (Footwear) 28%<br />

20%<br />

16%<br />

8% 8%<br />

Source: NSGA<br />

Cost<br />

1999<br />

84% 60% 64% 80% 92%<br />

84% Equipment<br />

84% 92%<br />

Moves, Adds,<br />

Changes<br />

2000<br />

Footwear 8%<br />

Linear (Equipment)<br />

24%<br />

Management<br />

2001<br />

Call Quality<br />

2002<br />

Reliability<br />

2003<br />

16% 12% 4% 4%<br />

4% 4% 4% 4%<br />

Routing<br />

2004<br />

Features<br />

Capacity<br />

How Does Your VoIP Service Compare to Your Old Service<br />

(Among companies with 100 or fewer employees that have adopted VoIP)<br />

VoIP Worse About the Same VoIP Better<br />

100<br />

Multi-Location<br />

Source: Savatar<br />

80<br />

This “convergence” of services is where IP telephony gets<br />

really<br />

60<br />

interesting, beyond just the potential cost savings. To<br />

simplify Would you matters, recommend convergence VoIP service is when to<br />

84% 60% voice and messaging<br />

64%<br />

services, your business 68%<br />

Internet peers? connectivity and 80% all related data<br />

92%<br />

services are<br />

40<br />

84%<br />

84% 92%<br />

delivered using the same network through one connection to<br />

8%<br />

the customer 12% premises, 24% with increasing levels of cross functionality<br />

20<br />

2%<br />

between the services.<br />

100<br />

4% 34% 8% 8% 21% 28%<br />

16% 39%<br />

<<br />

Consider, 20% for example, 16% a link on a Web 12%<br />

site 4% 4%<br />

8%<br />

that a consumer<br />

8%<br />

4% 4% 4% 4%<br />

anywhere 0 on the globe can click, from a computer at their home<br />

or on a sales floor, and instantly be connected to a live, human attendant<br />

who speaks the caller’s language and can handle orders,<br />

frequently asked questions, take a message or forward the call 100 to<br />

4% ><br />

VoIP 20% Worse 24% About the Same 52% VoIP Better<br />

the phone of the proper recipient, all for a monthly fee that easily<br />

can be justified by a small amount of newly generated business.<br />

Source: Savatar<br />

Taking things one step further is “fixed-mobile convergence,”<br />

whereby applications seamlessly travel across<br />

0 20 40 60 80 100<br />

both<br />

Cost<br />

Moves, Adds,<br />

Changes<br />

Management<br />

Call Quality<br />

Reliability<br />

Routing<br />

Features<br />

Would 1 you recommend 2 VoIP service 3 to 4 5<br />

your business peers?<br />

Not Recommend Recommend Highly Recommend<br />

2%<br />

Source: Savatar<br />

4% 34% 21% 39%<br />

4% 20% 24% 52%<br />

Source: Savatar<br />

2005<br />

Capacity<br />

2006<br />

Multi-Location<br />

0 20 40 60 80 100<br />

1 2 3 4 5<br />

Not Recommend Recommend Highly Recommend<br />

Employees<br />

Employees<br />

100<br />

<<br />

Employees<br />

100<br />

><br />

Employees<br />

<strong>Spring</strong> 2008 | <strong>InsideOutdoor</strong> | 21


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wired and wireless devices. Such services<br />

can automatically forward and direct all<br />

calls (desk, mobile or home phone, for example)<br />

to whatever device is selected by<br />

the subscriber according to time of day,<br />

who is calling, the type of call or other<br />

factors determined by the subscriber.<br />

This is not down-the-road technology.<br />

Rather, theses capabilities already exist, with<br />

most already on the market. And a good deal<br />

of these technologies now are working their<br />

way down market, from Fortune 1,000 and<br />

carrier-level networks to within the reach of<br />

small and very small businesses.<br />

What makes the move down market<br />

possible are a current crop of fully managed<br />

IP communications solutions that remove<br />

all the big hardware and complexity from<br />

the customer premises and places them on<br />

the service provider’s facilities. At one time,<br />

deploying advanced and customized communications<br />

applications required sophisticated<br />

equipment reside at the customer<br />

site or sites and a tech staff be employed to<br />

run things. That’s no longer necessary in<br />

the software-driven IP-based environment,<br />

where voice functionalities, settings, security,<br />

management and remote monitoring all<br />

can be hosted securely by the providers and<br />

delivered for a fraction of former prices.<br />

One such example is multi-location<br />

phone service. Capabilities such as fourdigit<br />

extension dialing to multiple stores<br />

and home-based workers, hunt group<br />

lists, automated attendant/interactive<br />

voice response systems that answer and<br />

direct calls across all extensions or offer<br />

a menu of selections (Press 1 for store<br />

hours, 2 for directions, etc.) and self-administration<br />

tools now can be delivered<br />

without the installation of expensive private<br />

branch exchange (PBX) systems.<br />

Unified messaging, meanwhile, combines<br />

a user’s voicemails, emails and<br />

faxes into one in-box where they can be<br />

viewed and/or directed to the desired<br />

device. Other capabilities of a unified<br />

messaging suite typically include call<br />

screening and preview, do-not-disturb,<br />

one number to receive all phone and fax<br />

messages, call detail records, message archiving<br />

and “find me follow me.” Among<br />

the services gaining early traction with<br />

small business executives and owners,<br />

“find me follow me” automatically dials<br />

a pre-assigned group of phone numbers<br />

until the subscriber is found and the call<br />

is answered, depending on how accessible<br />

that user wants or needs to be. Users<br />

also can direct calls based on day, time,<br />

who is calling or availability, and special<br />

rings can be assigned to certain callers.<br />

Combine the capabilities of find me follow<br />

me, automated voice response, multistore<br />

phone service and click-to-call Web<br />

links and the potential includes providing<br />

a link from an Internet-enabled PC located<br />

on a sales floor that a customer can click<br />

to get a question answered by any department<br />

or expert at any of the connected<br />

stores or home offices, no matter where<br />

that employees is at that moment.<br />

More to the present, existing hosted<br />

IP telephony services include many of<br />

the above features at prices that are below<br />

what most retailers likely pay for<br />

their standard business phones lines<br />

from the dominant telecom providers.<br />

IP-based providers will come knocking<br />

with promises of as much as 50 percent or<br />

more savings off your current phone bill,<br />

but something around 20 to 30 percent is<br />

more reasonable, says Frank Paterno, vice<br />

president of marketing for Intelliverse, a<br />

provider of hosted IP communications.<br />

Intelliverse’s CompleteCall hosted<br />

VoIP service, for example, offers local<br />

phone numbers, unlimited nationwide<br />

calling, multi-store services, unified messaging,<br />

automated attendant, find me follow<br />

me, one number service and more for<br />

about $50 a month per line.<br />

To get on board with the service, it’s<br />

likely new desk phones will be needed or<br />

an adapter be installed so the old phones<br />

can interact with the new network. It also<br />

assumes an existing Internet connection<br />

can handle the load, as the Complete-<br />

Call solution falls under the “bring your<br />

own broadband” scenario. And since<br />

voice traffic is now traveling on the data<br />

network, there must be adequate bandwidth<br />

or voice quality can suffer, which<br />

may be okay for interoffice calling but is<br />

not something customers and partners<br />

should experience.<br />

The big issue with the “bring your own<br />

broadband” approach is the hosted provider<br />

has no control over their customers’ “last<br />

mile connection,” which brings the Internet<br />

into the building. So if the Internet connection<br />

is spotty or temporarily goes down, so<br />

might the voice services in some capacity,<br />

unless a back-up method is deployed.<br />

22 | <strong>InsideOutdoor</strong> | <strong>Spring</strong> 2008


In most cases, retailers with a T-1 line or higher are good to<br />

go. A typical digital subscriber line (DSL) or cable modem connection,<br />

meanwhile, normally can handle three to four phone<br />

lines, says Paterno, and still leave enough room for Internet usage,<br />

assuming Internet usage at a location is not too heavy, such<br />

as multiple users on the Web surfing simultaneously and heavy<br />

downloading/uploading of video and graphic files.<br />

In terms of bandwidth allocation, “when it comes to voice<br />

over data, it doesn’t really matter whether you have three or<br />

four phone numbers or how many phone lines or how many<br />

people are at a location. What matters is how many people are<br />

talking or using the Internet at the same time,” says Paterno.<br />

In other cases, some IP-based providers<br />

will require that customers purchase<br />

Internet connectivity from them in order<br />

to get the IP communications solution,<br />

or purchase the data connection from a<br />

partner provider. This approach allows<br />

the service provider to control the last<br />

mile connection to better guarantee the<br />

quality and reliability of the service. It<br />

may or may not save the customer money<br />

over their current voice and Internet<br />

services spending.<br />

Since the voice and data networking<br />

requirements of most specialty retailers<br />

are relatively simple, either option<br />

should be viable in most instances. But<br />

quality and reliability, as well as security,<br />

are important considerations, and so far<br />

have been the primary drawback of VoIP<br />

services. Where the old public switched<br />

telephone network (PSTN) provided<br />

99.999 percent reliability, IP-based voice<br />

networks tend to hover around the mid-<br />

90s in terms of service reliability, particular<br />

those services that utilize the “bring<br />

your own broadband” approach.<br />

On the other hand, performance assurance<br />

continually improves, with service<br />

level agreements now being offered<br />

by select IP telephony distributors.<br />

After all, VoIP still may be a novel concept<br />

to the greater population, but the platform<br />

is actually somewhat mature, widely<br />

deployed for several years across telecom<br />

carrier and enterprise networks. One big<br />

reason why most people are not yet familiar<br />

with VoIP is because the large incumbent<br />

phone companies (Verizon, AT&T, Qwest)<br />

have been given little incentive so far to<br />

cannibalize their existing revenue streams<br />

by offering customers a cheaper way to do<br />

the same thing: make phone calls.<br />

The shift is coming, however, as global<br />

networks migrate fully to IP and the old<br />

circuit-switched, copper networks, which<br />

are more complex and costly to manage, manipulate and upgrade,<br />

are eventually retired. Already, investment in the old networks<br />

has all but ceased.<br />

That’s not to say you will wake up one day and your<br />

legacy-based services will be turned off. The point, rather,<br />

is that a time is coming when the lower cost structures and<br />

higher levels of functionality and innovation made available<br />

through IP networks will be the norm, so the bar will be<br />

raised in terms of how a company communicates internally<br />

and with its customers and partners. And it’s always best<br />

to be somewhat informed and prepared for when the time<br />

comes to make the switch.<br />

<strong>Spring</strong> 2008 | <strong>InsideOutdoor</strong> | 23


Teva’s High-Tech<br />

Touch<br />

Point<br />

Interactive POS media<br />

makes its premiere at<br />

outdoor specialty<br />

by Martin Vilaboy<br />

The bleeding edge is not exactly<br />

the place one tends<br />

to find outdoor retail-based<br />

companies. Sure, when it comes to the<br />

gear and garb, innovations in textiles,<br />

design and materials often show up in<br />

the outdoors before they do in most any other consumer<br />

goods market. But most veteran retail executives<br />

will tell you that, collectively, outdoor specialty<br />

is not exactly a leading adopter of the latest in retail<br />

and point-of-sale technology.<br />

Teva, however, is leading the way in the march toward<br />

a POS merchandising revolution.<br />

And Teva isn’t just dabbling with its new POS<br />

video experiment. This spring the outdoor brand<br />

began installing Internet-enabled, touch-screen<br />

video monitors into 100 selected dealers around<br />

the country. More than just your typical self-contained<br />

kiosk with pre-loaded content, the product<br />

information and branded entertainment served up<br />

by these two-way devices is centrally monitored,<br />

managed and updated from a master work station<br />

back at the Teva offices.<br />

“A lot of what you see at retail, the fixtures and<br />

signage, is static,” says Erin Manning, Teva visual<br />

merchandising manager. “This is really a unique opportunity<br />

for retail because it is so dynamic.”<br />

Teva’s touch-screen program<br />

allows consumers to interact with Teva products and branding.<br />

“It is a great synergy for our brand<br />

because of the passionate, active lifestyle that we like<br />

to convey,” she continues.<br />

The touch-screen system also allows Teva to collect<br />

information on what, how and how long customers are<br />

interacting with the devices in order to modify or tailor<br />

content according to the data collected. Shoppers can<br />

interact with the touch screen or provide their contact<br />

information to receive further updates from Teva.<br />

The 12-inch, flat-screen monitors mount right on<br />

the shoe wall, says Manning, “so they will be featured<br />

right where all of our product sits.”<br />

For sure, video and connectivity to the sales floor<br />

have been popping up in most segments of the greater<br />

retail landscape, from big box and consumer electronics<br />

stores to gas stations, car dealerships and shopping<br />

malls. Among the outdoor specialty crowd, one of the<br />

first applications of POS video came from specialty<br />

brand Zeal Optics, which integrated a small, fully<br />

contained monitor into its sunglass and goggle displays.<br />

Timberland also has been experimenting with<br />

24 | <strong>InsideOutdoor</strong> | <strong>Spring</strong> 2008


Americans’ View of POS Video, Adults 18 and Over<br />

Have you ever watched video programming in a store, not including on TV<br />

at TV retailer?<br />

Have you ever purchased a product that you hadn’t planned on buying<br />

after seeing it featured in a store’s video programming?<br />

Source: Arbitron, 2006<br />

video at the point of sale in some of its<br />

retail markets. But as far as we know,<br />

this is the first time outdoor specialty<br />

dealers have been exposed to any type<br />

of “retail media network.”<br />

“We are rolling this out with our top<br />

independent specialty dealers, the local<br />

outdoor shops” says Manning. “Those<br />

are the types of retailers at which we<br />

have the opportunity to really reach<br />

our customers.”<br />

To deliver its video merchandising<br />

program, Teva teamed up with Ronin<br />

Wireless Technologies, employing<br />

Ronin’s managed digital signage solution.<br />

Ronin’s software, running on<br />

each of the deployed monitors and at<br />

the central location, handles most of<br />

the work and serves up the end-user<br />

functionalities, such as network management,<br />

customized distribution,<br />

playlist creation, scheduling and database<br />

integration. Ronin also handles<br />

installation, support and security for<br />

Teva, says Manning.<br />

Unlike a true retail media network,<br />

which would be delivered on a private<br />

or virtual private network, the touch<br />

screens are networked through the retailers<br />

existing broadband connection.<br />

Ronin can hard wire the screens or network<br />

them wirelessly, utilizing the ubiquitous<br />

Wi-Fi standard (802.11 a/b/g).<br />

The “bring your own broadband”<br />

approach means retailers’ local area<br />

networks will need to sacrifice some<br />

Consumers Most Interested<br />

in Sales and Product Info<br />

Sales and specials 81%<br />

Info on in-store products 72%<br />

Special events 68%<br />

News 67%<br />

Weather 67%<br />

Topical shows 52%<br />

Gift card info 50%<br />

Music videos 49%<br />

Sports info 46%<br />

Quiz and trivia 36%<br />

Source: Arbitron, 2006<br />

Yes<br />

No<br />

Not<br />

Sure<br />

33% 64% 3%<br />

29% 69% 2%<br />

bandwidth, but service and installations<br />

in a dozen or so pilots, says Manning,<br />

have been “clean, smooth and<br />

non-intrusive to the retailer.”<br />

The content being served up on<br />

the touch-screen monitors currently<br />

is divided into a few categories. First<br />

and foremost, there’s the product information,<br />

dominated by technology<br />

information designed to answer any<br />

questions a consumer may have when<br />

considering a purchase.<br />

As an added benefit, the product<br />

information, available instantly right<br />

there on the sales floor, also serves as a<br />

tool for in-store sales staffers, Manning<br />

points out. “If the sales rep doesn’t<br />

maybe know all five points about a<br />

product, they can refer to this unit and<br />

get a little more information to help<br />

push the product,” she says.<br />

From there, users can move to the<br />

“Teva Tribe” section, which contains<br />

brand and cultural content such as<br />

films from the Teva Mountain Games;<br />

video and information on Teva athletes;<br />

and Teva’s participation in local<br />

events and community efforts, including<br />

its recent involvement with the<br />

IMAX movie, Grand Canyon Adventure:<br />

River at Risk.<br />

“Then we have a kind of ‘get connected’<br />

section, where the consumer<br />

can sign up for sweepstakes and promotions<br />

that will run through the site,”<br />

says Manning. “Right now, for example,<br />

there is a sweepstakes related to the<br />

IMAX film, in which we are giving away<br />

a river trip on the Grand Canyon.”<br />

Indeed, there are still many questions<br />

and doubts surrounding POS video and<br />

Internet connectivity – most notably,<br />

whether or not consumers want to be<br />

engaged on the sales floor and how.<br />

If nothing else, the ability to collect<br />

user engagement data will provide Teva<br />

with some quantifiable metrics that can<br />

be applied to future POS video efforts.<br />

Stay tuned … there’s lots more to come.<br />

Visit our website: http://www.AtlasGloveConsumerProducts.com<br />

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<strong>Spring</strong> 2008 | <strong>InsideOutdoor</strong> | 25<br />

ATLAS ® is a registered trademark of SHOWA Glove Co.


POS Software Directions & Directory<br />

by Martin Vilaboy<br />

After a good bit of overspending in the “dot-com” era and the<br />

time leading up to Y2K, retail IT executives were forced to serve<br />

a type of penance, and were pushed into the back room of organizations<br />

where technology was seen mostly as a cost management<br />

mechanism rather than a strategic weapon. For many retailers,<br />

that’s placed even more pressure on already-aging IT infrastructures—point<br />

of sale software and systems notwithstanding.<br />

According to an Aberdeen Group survey of 175 retail companies<br />

in January of this year, for example, 60 percent of respondents<br />

said they are working with POS systems that are<br />

older than five years. Out of that 60 percent, 35 percent have<br />

POS systems in place that are more than 10 years old. Aberdeen<br />

research also shows, by the way, that the “specialty store” segment,<br />

in general, is where one is most likely to find legacy systems<br />

in place.<br />

The Competitive Framework<br />

Process<br />

Organization<br />

Knowledge<br />

Technology<br />

Performance<br />

Source: Aberdeen Group<br />

Best-in-Class Average Laggards<br />

Ability to access Web sites , catalog and fulfill Web generated orders at POS<br />

32% 14% 9%<br />

Ability to process accurate product promotions through POS (prince integrity<br />

and coupon usage)<br />

63% 55% 30%<br />

Ability to provide stores with help desk phone support personnel<br />

61% 47% 34%<br />

Ability to analyze POS data close to real time to plan targeted promotions<br />

for POS execution<br />

41% 27% 11%<br />

Customer-centric hardware, software and peripherals POS technologies can<br />

currently use<br />

- 44% touch-screen POS<br />

with multi-channel<br />

service functions<br />

- 42% POS software for<br />

loyalty programs<br />

- 80% POS software for<br />

gift card processing<br />

- 30% POS system with<br />

CRM software<br />

- 60% universal PIN entry<br />

device for payment<br />

acceptance<br />

- 25% mobile POS<br />

handheld<br />

- 35% SOA for POS<br />

application integration<br />

- 28% touch-screen POS<br />

with multi-channel<br />

service functions<br />

- 30% POS software for<br />

loyalty programs<br />

- 59% POS software for<br />

gift card processing<br />

- 25% POS system with<br />

CRM software<br />

- 21% universal PIN entry<br />

device for payment<br />

acceptance<br />

- 13% mobile POS<br />

handheld<br />

- 14% SOA for POS<br />

application integration<br />

POS performance management parameters used<br />

42% report and manage<br />

customer POS experience<br />

using customer<br />

satisfaction at POS<br />

22% report and<br />

manage customer POS<br />

experience using customer<br />

satisfaction at POS<br />

26 | <strong>InsideOutdoor</strong> | <strong>Spring</strong> 2008<br />

- 14% touch-screen<br />

POS with multichannel<br />

service<br />

functions<br />

- 12% POS software<br />

for loyalty programs<br />

- 36% POS software<br />

for gift card<br />

processing<br />

- 12% POS system<br />

with CRM software<br />

- 11% universal PIN<br />

entry device for<br />

payment acceptance<br />

- 12% mobile POS<br />

handheld<br />

- 9% SOA for POS<br />

application integration<br />

15% report and<br />

manage customer<br />

POS experience using<br />

customer satisfaction<br />

at POS<br />

That may seem reassuring to retailers still tapping away on<br />

older systems, but at the same time, nearly half (47 percent)<br />

of retailers surveyed said complex and time-consuming POS<br />

checkout procedures were a major pressure impacting customer<br />

POS experiences. And as we stress elsewhere in this issue, much<br />

of technology investments moving forward will be influenced<br />

directly by the customer experience and other loyalty drivers.<br />

So while it took nearly half a century for barcode technology<br />

to move from its crude beginnings to something retailers “needed”<br />

to its current universal form, today new technologies come<br />

from multiple directions, adoption cycles move in years rather<br />

than decades and those that fall behind seem to have less time to<br />

regain their competitive position.<br />

The stakes, when it comes to POS systems, have gotten higher,<br />

as well.<br />

“POS applications have moved well beyond the automation<br />

of everyday retail sales transactions,” say analysts<br />

at Gartner, Inc. “Retailers of all sizes no longer see<br />

POS technologies as merely cost-cutting applications but<br />

as key tools to driving revenue growth by enhancing the<br />

customer experience and retaining customer loyalty.”<br />

Indeed, POS transactions are a primary source of<br />

customer and retail data, and that data is being used by<br />

retailers to monitor store performance, manage supply<br />

chains and inventory, plan and allocate merchandise,<br />

develop promotions and marketing, forecast customer<br />

spending and measure customer service.<br />

So it’s probably not surprising that Aberdeen<br />

Group’s “Best in Class” retail companies – in terms of<br />

their performance in a group of standard customercentric<br />

measurement – “are at least two times more<br />

likely than all others to have cutting-edge customercentric<br />

capabilities and enabling technologies that aid<br />

in a consistent approach toward fulfilling customer<br />

needs at POS from an order management, loyalty programs<br />

and guided selling, and payment acceptance<br />

standpoint,” says the research firm.<br />

So you can see where your retail operation stands in<br />

relation to Aberdeen Group’s top performers in customer<br />

satisfaction at the point of sale, below is a completive<br />

framework that details the POS capabilities of the “retail<br />

winners” with a comparison to “average” performers<br />

and “laggards.” Following that are detailed listings<br />

in a directory of POS software providers and resellers<br />

that service outdoor, independent and specialty retail.<br />

Hopefully, it can help with any upgrade, replacement<br />

or migration strategies you may have in the works.<br />

Anyone who would like to see the specifics as to<br />

how Aberdeen Group defines its “Best in Class” with<br />

regard to this discussion, please feel free to contact us<br />

at martin@bekapublishing.com.


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POS Software Providers and their Wares<br />

Big Hairy Dog Information Systems, Inc.<br />

3205 Ramos Circle Sacramento, CA 95827<br />

Phone: 800-377-7776 Fax: 916-368-1411<br />

Contact: info@bighairydog.com<br />

www.bighairydog.com<br />

Company Description:<br />

“Big Hairy Dog information Systems is a premiere support company for leading retail<br />

automation technology. Over a decade of award-winning service has placed BHD as the<br />

leader in POS, inventory management, e-commerce and accounting and support.”<br />

Features and Capabilities Available in POS Service Offering<br />

Account Credit Notations<br />

Accounting Integration<br />

Barcode Scanning<br />

Cash Register/Drawer Readings<br />

Commission and Incentives Management<br />

Check Authorization<br />

Credit Card Processing<br />

CRM Integration<br />

Custom User Interface<br />

Customizable Fields<br />

Customizable Functionality<br />

Customizable Reporting<br />

Daily Reports<br />

Data Import/Export<br />

Debit Card Processing<br />

eCommerce Tools<br />

Employee Time Clock<br />

End-of-Day Processing<br />

Forms Printing<br />

Gift Card/Certificate/Store Credit Processing<br />

History<br />

Holds and Quotes<br />

Independent and Distributed Pricing Options<br />

Inventory Management<br />

Multi-Currency<br />

Layaway Capabilities<br />

Legacy System Integration<br />

Magnetic Card Reader<br />

Mobile Access<br />

Multi-Branch Integration<br />

Multi-Language<br />

Multiple Station Management<br />

Capabilities<br />

Optional Peripherals Support<br />

Ordering Automation<br />

Payment Types<br />

Pricing<br />

Refund Automation<br />

Sales and Discount Automation/<br />

Management<br />

Sales Dashboard<br />

Serial and Lot Number Tracking<br />

Service Rentals<br />

Software Development Kit<br />

Supply Chain Management<br />

Tax Recordkeeping<br />

Touch Screen<br />

User Passwords<br />

Warranty Processing Reporting<br />

Celerant Technology Corp.<br />

3830 Arthur Kill Rd. Staten Island, NY 10309<br />

Phone: 718-605-7733 Fax: 718-317-6948<br />

Contact: Michele Majka, mmajka@celerant.com<br />

www.celerant.com<br />

Company Description:<br />

“Celerant Command Retail is a real-time retail management system that manages all areas of<br />

a sporting goods organization including POS, team sales, sales office, inventory management,<br />

warehouse, distribution center, allocation, multi-channel/e-commerce/kiosks, data mining,<br />

and a single, integrated system.”<br />

Features and Capabilities Available in POS Service Offering<br />

Account Credit Notations<br />

Accounting Integration<br />

Barcode Scanning<br />

Cash Register/Drawer Readings<br />

Commission and Incentives Management<br />

Check Authorization<br />

Credit Card Processing<br />

CRM Integration<br />

Custom User Interface<br />

Customizable Fields<br />

Customizable Functionality<br />

Customizable Reporting<br />

Daily Reports<br />

Data Import/Export<br />

Debit Card Processing<br />

eCommerce Tools<br />

Employee Time Clock<br />

End-of-Day Processing<br />

Forms Printing<br />

Gift Card/Certificate/Store Credit Processing<br />

History<br />

Holds and Quotes<br />

Independent and Distributed Pricing Options<br />

Inventory Management<br />

Multi-Currency<br />

Layaway Capabilities<br />

Legacy System Integration<br />

Magnetic Card Reader<br />

Mobile Access<br />

Multi-Branch Integration<br />

Multi-Language<br />

Multiple Station Management Capabilities<br />

Optional Peripherals Support<br />

Ordering Automation<br />

Payment Types<br />

Pricing<br />

Refund Automation<br />

Sales and Discount Automation/<br />

Management Sales Dashboard<br />

Serial and Lot Number Tracking<br />

Service Rentals<br />

Supply Chain Management<br />

Tax Recordkeeping<br />

Touch Screen<br />

User Passwords<br />

Warranty Processing Reporting<br />

Please see ad one page 29<br />

Cam Commerce<br />

17075 Newhope Street, Ste. A Fountain Valley, CA 92708<br />

Phone: 714-241-9241 Fax: 714-241-9893<br />

Contact: Chester Ritchie, chester.ritchie@camcommerce.com<br />

www.camcommerce.com<br />

Company Description:<br />

“CAM Commerce Solutions designs, develops, markets and services highly integrated retailing<br />

and payment processing solutions for small to medium-size traditional and e-commerce<br />

businesses based on the company’s open architecture software. These integrated solutions<br />

include inventory management, point of sale, accounting, credit and debit card processing,<br />

Internet sales, gift card and customer loyalty programs, and extensive management reporting.”<br />

Features and Capabilities Available in POS Service Offering<br />

Account Credit Notations<br />

Accounting Integration<br />

Barcode Scanning<br />

Cash Register/Drawer Readings<br />

Commission and Incentives Management<br />

Check Authorization<br />

Credit Card Processing<br />

CRM Integration<br />

Custom User Interface<br />

Customizable Functionality<br />

Customizable Reporting<br />

Daily Reports<br />

Data Import/Export<br />

Debit Card Processing<br />

eCommerce Tools<br />

Employee Time Clock<br />

End-of-Day Processing<br />

Forms Printing<br />

Gift Card/Certificate/Store Credit Processing<br />

Holds and Quotes<br />

Independent and Distributed Pricing<br />

Options<br />

Inventory Management<br />

Multi-Currency<br />

Layaway Capabilities<br />

Magnetic Card Reader<br />

Multi-Branch Integration<br />

Multiple Station Management Capabilities<br />

Optional Peripherals Support<br />

Ordering Automation<br />

Payment Types<br />

Pricing<br />

Refund Automation<br />

Sales and Discount Automation/<br />

Management<br />

Sales Dashboard<br />

Serial and Lot Number Tracking<br />

Service Rentals<br />

Supply Chain Management<br />

Tax Recordkeeping<br />

User Passwords<br />

E.E.S Companies, Inc.<br />

1257 Worcester Rd., #332 Framigham, MA 01701<br />

Phone: 508-653-6911 Fax: 508-650-1872<br />

Contact: sales@eesco.com<br />

www.eesco.com<br />

Company Description:<br />

“POS/OE 4 is a very robust, fully integrated business operations program, which includes the<br />

latest advances in technology. POS/OE 4 operate on the both Mac and Windows and offers<br />

POS, Web order processing, inventory control, CRM, accounting, customized reporting, multistore<br />

location access, real-time PDA access and much more.”<br />

Features and Capabilities Available in POS Service Offering<br />

Account Credit Notations<br />

Accounting Integration<br />

Barcode Scanning<br />

Cash Register/Drawer Readings<br />

Commission and Incentives Management<br />

Credit Card Processing<br />

CRM Integration<br />

Custom User Interface<br />

Customizable Fields<br />

Customizable Functionality<br />

Customizable Reporting<br />

Daily Reports<br />

Data Import/Export<br />

Debit Card Processing<br />

eCommerce Tools<br />

Employee Time Clock<br />

End-of-Day Processing<br />

Forms Printing<br />

Gift Card/Certificate/Store Credit Processing<br />

History<br />

Holds and Quotes<br />

Independent and Distributed Pricing Options<br />

Inventory Management<br />

Multi-Currency<br />

Layaway Capabilities<br />

Magnetic Card Reader<br />

Mobile Access<br />

Multi-Branch Integration<br />

Multi-Language<br />

Multiple Station Management Capabilities<br />

Optional Peripherals Support<br />

Ordering Automation<br />

Payment Types<br />

Pricing<br />

Refund Automation<br />

Sales and Discount Automation/<br />

Management<br />

Sales Dashboard<br />

Serial and Lot Number Tracking<br />

Service Rentals<br />

Supply Chain Management<br />

Tax Recordkeeping<br />

Touch Screen<br />

User Passwords<br />

Warranty Processing Reporting<br />

28 | <strong>InsideOutdoor</strong> | <strong>Spring</strong> 2008


POS Software Providers and their Wares<br />

Everest Software Inc.<br />

21631 Ridgetop Circle, Suite 100 Dulles, VA 20166<br />

Phone: 800-382-0725 Fax: 703-234-6680<br />

Contact: Lindsay Barret, lbarret@everestsoft.com<br />

www.everestsoftwareinc.com<br />

Company Description:<br />

“Everest Software is Your Business Operating System. You can efficiently manage every<br />

business process from a single, integrated solution. Everest works the way you do. Support<br />

sales in a shared environment that eliminates duplicate data entry yet allows you total<br />

control. It’s ideal for growing small and medium businesses.”<br />

Features and Capabilities Available in POS Service Offering<br />

Account Credit Notations<br />

Accounting Integration<br />

Barcode Scanning<br />

Cash Register/Drawer Readings<br />

Commission and Incentives Management<br />

Credit Card Processing<br />

CRM Integration<br />

Custom User Interface<br />

Customizable Fields<br />

Customizable Functionality<br />

Customizable Reporting<br />

Daily Reports<br />

Data Import/Export<br />

Debit Card Processing<br />

eCommerce Tools<br />

Employee Time Clock<br />

End-of-Day Processing<br />

Forms Printing<br />

History<br />

Holds and Quotes<br />

Inventory Management<br />

Multi-Currency<br />

Legacy System Integration<br />

Magnetic Card Reader<br />

Multi-Branch Integration<br />

Multiple Station Management Capabilities<br />

Optional Peripherals Support<br />

Ordering Automation<br />

Payment Types<br />

Pricing<br />

Sales and Discount Automation/Management<br />

Sales Dashboard<br />

Serial and Lot Number Tracking<br />

Software Development Kit<br />

Supply Chain Management<br />

Tax Recordkeeping<br />

Touch Screen<br />

User Passwords<br />

Please see ad one page 31<br />

One Step Retail Solutions<br />

22520 N. 18th Dr. Phoenix AZ 85027<br />

Phone: 800-266-1328 Fax: 623-580-8182<br />

Contact: Cyndi Seidler, cseidler@onestepretail.com<br />

www.onestepretail.com<br />

Company Description:<br />

“OSRS is the leading retail technology service provider in the U.S., servicing the technology<br />

needs of specialty retailers since 1985. The company specializes in retail POS software<br />

systems that help retailers be in control of inventory and manage their business more<br />

efficiently. Offices in California, Arizona and New York.”<br />

Features and Capabilities Available in POS Service Offering<br />

Accounting Integration<br />

Barcode Scanning<br />

Cash Register/Drawer Readings<br />

Commission and Incentives Management<br />

Credit Card Processing<br />

CRM Integration<br />

Custom User Interface<br />

Customizable Fields<br />

Customizable Functionality<br />

Customizable Reporting<br />

Daily Reports<br />

Data Import/Export<br />

Debit Card Processing<br />

eCommerce Tools<br />

Employee Time Clock<br />

End-of-Day Processing<br />

Forms Printing<br />

Gift Card/Certificate/Store Credit Processing<br />

History<br />

Holds and Quotes<br />

Inventory Management<br />

Multi-Currency<br />

Layaway Capabilities<br />

Legacy System Integration<br />

Magnetic Card Reader<br />

Mobile Access<br />

Multi-Branch Integration<br />

Multi-Language<br />

Multiple Station Management Capabilities<br />

Optional Peripherals Support<br />

Ordering Automation<br />

Payment Types<br />

Pricing<br />

Refund Automation<br />

Sales and Discount Automation/<br />

Management Sales Dashboard<br />

Serial and Lot Number Tracking<br />

Service Rentals<br />

Tax Recordkeeping<br />

Touch Screen<br />

User Passwords


POS Software Providers and their Wares<br />

POS-IM<br />

1330 Flint Meadow Dr. Kaysville, UT 84037<br />

Phone: 800-409-7678 Fax: 801-546-6490<br />

Contact: Lynn Horrocks, horrocksl@posim.com<br />

www.posim.com<br />

Company Description:<br />

“We have been providing a leading edge POS and inventory management for Macintosh and<br />

Windows users for more than 20 years. We have a full suite of tools to help your retail store<br />

be more successful.”<br />

Features and Capabilities Available in POS Service Offering<br />

POSitive Software Company<br />

2290 Robertson Dr. Richland, WA 99354<br />

Phone: 800-735-6860 Fax: 509-375-0629<br />

Contact: sales@gopositive.com<br />

www.gopositive.com<br />

Company Description:<br />

“POSitive Software Company has been in business since 1993. Our flagship product, POSitive<br />

Retail Manager (PRM) is a sophisticated yet intuitive POS system built around Microsoft’s<br />

SQL, a robust and scalable database. PRM also has built-in credit card processing and<br />

e-commerce capabilities.”<br />

Features and Capabilities Available in POS Service Offering<br />

Account Credit Notations<br />

Accounting Integration<br />

Barcode Scanning<br />

Cash Register/Drawer Readings<br />

Credit Card Processing<br />

CRM Integration<br />

Daily Reports<br />

Data Import/Export<br />

Debit Card Processing<br />

eCommerce Tools<br />

Employee Time Clock<br />

End-of-Day Processing<br />

Gift Card/Certificate/Store Credit Processing<br />

History<br />

Holds and Quotes<br />

Independent and Distributed Pricing Options<br />

Inventory Management<br />

Multi-Currency<br />

Layaway Capabilities<br />

Magnetic Card Reader<br />

Mobile Access<br />

Multiple Station Management Capabilities<br />

Ordering Automation<br />

Payment Types<br />

Pricing<br />

Sales and Discount Automation/Management<br />

Serial and Lot Number Tracking<br />

Tax Recordkeeping<br />

Touch Screen<br />

User Passwords<br />

Account Credit Notations<br />

Accounting Integration<br />

Barcode Scanning<br />

Cash Register/Drawer Readings<br />

Commission and Incentives Management<br />

Credit Card Processing<br />

CRM Integration<br />

Custom User Interface<br />

Customizable Fields<br />

Customizable Functionality<br />

Customizable Reporting<br />

Daily Reports<br />

Data Import/Export<br />

Debit Card Processing<br />

eCommerce Tools<br />

Employee Time Clock<br />

End-of-Day Processing<br />

Forms Printing<br />

Gift Card/Certificate/Store Credit Processing<br />

History<br />

Holds and Quotes<br />

Independent and Distributed Pricing Options<br />

Inventory Management<br />

Multi-Currency<br />

Layaway Capabilities<br />

Legacy System Integration<br />

Magnetic Card Reader<br />

Mobile Access<br />

Multi-Branch Integration<br />

Multi-Language<br />

Multiple Station Management Capabilities<br />

Optional Peripherals Support<br />

Ordering Automation<br />

Payment Types<br />

Pricing<br />

Refund Automation<br />

Sales and Discount Automation/Management<br />

Sales Dashboard<br />

Serial and Lot Number Tracking<br />

Tax Recordkeeping<br />

Touch Screen<br />

User Passwords<br />

Please see ad one page 33<br />

Radiant Systems<br />

1727 Kirby Parkway Memphis, TN 38117<br />

Phone: 901-681-2800 Fax: 901-681-2902<br />

Contact: Andee Williamson, retailsales@radiantsystems.com<br />

www.counterpointpos.com<br />

Company Description:<br />

“In more than 500 sporting goods stores across the country, Radiant Systems offers a<br />

complete technology solution – CounterPoint software, retail-ready hardware, e-commerce<br />

and technical services – that will help you build customer loyalty, consistently grow sales and<br />

better control operating costs.”<br />

Features and Capabilities Available in POS Service Offering<br />

Account Credit Notations<br />

Accounting Integration<br />

Barcode Scanning<br />

Cash Register/Drawer Readings<br />

Commission and Incentives Management<br />

Check Authorization<br />

Credit Card Processing<br />

Custom User Interface<br />

Customizable Fields<br />

Customizable Functionality<br />

Customizable Reporting<br />

Daily Reports<br />

Data Import/Export<br />

Debit Card Processing<br />

eCommerce Tools<br />

Employee Time Clock<br />

End-of-Day Processing<br />

Forms Printing<br />

Gift Card/Certificate/Store Credit Processing<br />

History<br />

Holds and Quotes<br />

Independent and Distributed Pricing Options<br />

Inventory Management<br />

Multi-Currency<br />

Layaway Capabilities<br />

Legacy System Integration<br />

Magnetic Card Reader<br />

Mobile Access<br />

Multi-Branch Integration<br />

Multiple Station Management Capabilities<br />

Optional Peripherals Support<br />

Ordering Automation<br />

Payment Types<br />

Pricing<br />

Refund Automation<br />

Sales and Discount Automation/Management<br />

Sales Dashboard<br />

Serial and Lot Number Tracking<br />

Service Rentals<br />

Tax Recordkeeping<br />

Touch Screen<br />

User Passwords<br />

Warranty Processing Reporting<br />

Retail Anywhere<br />

4450 El Camino Real Atascadero, CA 93422<br />

Phone: 800-257-2734 Fax: 805-546-1006<br />

Contact: Brenee Staples, sales@retailanywhere.com<br />

www.retailanywhere.com<br />

Company Description:<br />

“Retail Anywhere POS delivers the robust features and functionality required to provide<br />

valuable customer, inventory and marketing information to enhance the overall shopping<br />

experience for customers and increase sale for retailers. A real-time and easy-to-use solution,<br />

Retail Anywhere POS is scalable and flexible to easily handle growth and new functionality<br />

requirements.”<br />

Features and Capabilities Available in POS Service Offering<br />

Account Credit Notations<br />

Accounting Integration<br />

Barcode Scanning<br />

Cash Register/Drawer Readings<br />

Commission and Incentives Management<br />

Check Authorization<br />

Credit Card Processing<br />

CRM Integration<br />

Custom User Interface<br />

Customizable Fields<br />

Customizable Functionality<br />

Customizable Reporting<br />

Daily Reports<br />

Data Import/Export<br />

Debit Card Processing<br />

Employee Time Clock<br />

End-of-Day Processing<br />

Forms Printing<br />

Gift Card/Certificate/Store Credit Processing<br />

History<br />

Independent and Distributed Pricing Options<br />

Inventory Management<br />

Multi-Currency<br />

Layaway Capabilities<br />

Legacy System Integration<br />

Magnetic Card Reader<br />

Mobile Access<br />

Multi-Branch Integration<br />

Multi-Language<br />

Multiple Station Management Capabilities<br />

Optional Peripherals Support<br />

Ordering Automation<br />

Payment Types<br />

Pricing<br />

Refund Automation<br />

Sales and Discount Automation/Management<br />

Sales Dashboard<br />

Service Rentals<br />

Supply Chain Management<br />

Tax Recordkeeping<br />

Touch Screen<br />

User Passwords<br />

30 | <strong>InsideOutdoor</strong> | <strong>Spring</strong> 2008


POS Software Providers and their Wares<br />

Retail Pro<br />

3252 Holiday Court La Jolla CA 92037<br />

Phone: 858-550-3355<br />

www.retailpro.com<br />

Company Description:<br />

“Retail Pro is one of the world’s most renowned providers of merchandising software for<br />

retailers. Retail Pro was originally developed in the mid 1980s by Retail Technologies<br />

International and has emerged as the premier store operations solution around the world.”<br />

RunIT Real Time<br />

447 Broadway New York, NY 10013<br />

Phone: 212-431-0707 Fax: 212-431-5666<br />

Contact: Steve Treiber, steve.treiber@runit.com<br />

www.runit.com<br />

Company Description:<br />

“RunIT is real-time POS software systems for independent retailers. From in-store POS to<br />

e-commerce and from inventory management to accounting, RunIT is a complete POS<br />

software solution. RunIT provides all the real-time tools to run your business more profitably.”<br />

Features and Capabilities Available in POS Service Offering<br />

Account Credit Notations<br />

Accounting Integration<br />

Barcode Scanning<br />

Cash Register/Drawer Readings<br />

Commission and Incentives Management<br />

Check Authorization<br />

Credit Card Processing<br />

CRM Integration<br />

Custom User Interface<br />

Customizable Fields<br />

Customizable Functionality<br />

Customizable Reporting<br />

Daily Reports<br />

Data Import/Export<br />

Debit Card Processing<br />

eCommerce Tools<br />

Employee Time Clock<br />

End-of-Day Processing<br />

Forms Printing<br />

Gift Card/Certificate/Store Credit Processing<br />

History<br />

Holds and Quotes<br />

Independent and Distributed Pricing Options<br />

Inventory Management<br />

Multi-Currency<br />

Layaway Capabilities<br />

Legacy System Integration<br />

Magnetic Card Reader<br />

Mobile Access<br />

Multi-Branch Integration<br />

Multi-Language<br />

Multiple Station Management<br />

Capabilities<br />

Optional Peripherals Support<br />

Ordering Automation<br />

Payment Types<br />

Pricing<br />

Refund Automation<br />

Sales and Discount Automation/<br />

Management<br />

Sales Dashboard<br />

Serial and Lot Number Tracking<br />

Service Rentals<br />

Software Development Kit<br />

Supply Chain Management<br />

Tax Recordkeeping<br />

Touch Screen<br />

User Passwords<br />

Warranty Processing Reporting<br />

Features and Capabilities Available in POS Service Offering<br />

Accounting Integration<br />

Barcode Scanning<br />

Cash Register/Drawer Readings<br />

Commission and Incentives Management<br />

Credit Card Processing<br />

CRM Integration<br />

Custom User Interface<br />

Customizable Fields<br />

Customizable Functionality<br />

Customizable Reporting<br />

Daily Reports<br />

Data Import/Export<br />

Debit Card Processing<br />

eCommerce Tools<br />

Employee Time Clock<br />

End-of-Day Processing<br />

Gift Card/Certificate/Store Credit Processing<br />

History<br />

Holds and Quotes<br />

Inventory Management<br />

Layaway Capabilities<br />

Legacy System Integration<br />

Magnetic Card Reader<br />

Mobile Access<br />

Multi-Branch Integration<br />

Multi-Language<br />

Multiple Station Management Capabilities<br />

Optional Peripherals Support<br />

Ordering Automation<br />

Payment Types<br />

Pricing<br />

Refund Automation<br />

Sales Dashboard<br />

Serial and Lot Number Tracking<br />

Touch Screen<br />

User Passwords<br />

RVP Business Systems<br />

6001 Overland Rd. Boise ID 83709<br />

Phone: 208-376-8121 Fax: 208-376-8143<br />

Contact: Tom Welsh, twelsh@rvpsystems.com<br />

www.rvpsystems.com<br />

Company Description:<br />

“RVP Business Systems, established in 1973, provides retail businesses with tools needed to<br />

ensure their business is operating at its maximum level of efficiency. The most cost effective<br />

way to accomplish this is with an open architecture, computer-based POS system.”<br />

Features and Capabilities Available in POS Service Offering<br />

TallySoft<br />

311 South Central Ave. Canonsburg, PA 15317<br />

Phone: 724-873-5264 Fax: 724-873-5265<br />

Contact: Mike Stephenson, mikes@tallysoft.com<br />

www.tallysoft.com<br />

Company Description:<br />

“TallySoft offers a complete software and hardware retail POS, back-office management and<br />

eCommerce solution. Our Windows-based, touch screen allows you to manage your sales,<br />

inventory, customers, employees, cash flow and more. System processes transactions – from<br />

credit cards, gift cards, layaway, serialized inventory, special orders and customer quotes.”<br />

Features and Capabilities Available in POS Service Offering<br />

Account Credit Notations<br />

Accounting Integration<br />

Barcode Scanning<br />

Cash Register/Drawer Readings<br />

Commission and Incentives Management<br />

Check Authorization<br />

Credit Card Processing<br />

CRM Integration<br />

Custom User Interface<br />

Customizable Fields<br />

Customizable Functionality<br />

Customizable Reporting<br />

Daily Reports<br />

Data Import/Export<br />

Debit Card Processing<br />

eCommerce Tools<br />

Employee Time Clock<br />

End-of-Day Processing<br />

Forms Printing<br />

Gift Card/Certificate/Store Credit Processing<br />

History<br />

Holds and Quotes<br />

Independent and Distributed Pricing Options<br />

Inventory Management<br />

Multi-Currency<br />

Layaway Capabilities<br />

Legacy System Integration<br />

Magnetic Card Reader<br />

Mobile Access<br />

Multi-Branch Integration<br />

Multi-Language<br />

Multiple Station Management Capabilities<br />

Optional Peripherals Support<br />

Ordering Automation<br />

Payment Types<br />

Pricing<br />

Refund Automation<br />

Sales and Discount Automation/Management<br />

Sales Dashboard<br />

Serial and Lot Number Tracking<br />

Service Rentals<br />

Supply Chain Management<br />

Tax Recordkeeping<br />

Touch Screen<br />

User Passwords<br />

Warranty Processing Reporting<br />

Account Credit Notations<br />

Accounting Integration<br />

Barcode Scanning<br />

Cash Register/Drawer Readings<br />

Commission and Incentives Management<br />

Credit Card Processing<br />

CRM Integration<br />

Custom User Interface<br />

Customizable Fields<br />

Customizable Functionality<br />

Customizable Reporting<br />

Daily Reports<br />

Data Import/Export<br />

Debit Card Processing<br />

eCommerce Tools<br />

Employee Time Clock<br />

End-of-Day Processing<br />

Forms Printing<br />

Gift Card/Certificate/Store Credit Processing<br />

Holds and Quotes<br />

Independent and Distributed Pricing Options<br />

Inventory Management<br />

Multi-Currency<br />

Layaway Capabilities<br />

Magnetic Card Reader<br />

Mobile Access<br />

Multi-Branch Integration<br />

Multiple Station Management Capabilities<br />

Payment Types<br />

Pricing<br />

Sales and Discount Automation/Management<br />

Serial and Lot Number Tracking<br />

Service Rentals<br />

Supply Chain Management<br />

Tax Recordkeeping<br />

Touch Screen<br />

User Passwords<br />

Warranty Processing Reporting<br />

32 | <strong>InsideOutdoor</strong> | <strong>Spring</strong> 2008


POS Software Providers and their Wares<br />

VeraPOS Inc.<br />

595 Market St., Ste. 2400 San Francisco, CA 94105<br />

Phone: 415-369-9900 Fax: 415-284-0300<br />

Contact: Doug McNamara, info@versapos.com<br />

www.versapos.com<br />

Company Description:<br />

“VersaPOS, as the name connotes, combines flexibility and capability of handling varied<br />

needs across vertical markets including wineries, jewelry, apparel, home lawn and garden,<br />

candy and chocolate specialty stores, as well as consumer durables. The solution is easily<br />

scalable from a single to chain of stores.”<br />

Features and Capabilities Available in POS Service Offering<br />

Accounting Integration<br />

Barcode Scanning<br />

Cash Register/Drawer Readings<br />

Commission and Incentives Management<br />

Credit Card Processing<br />

CRM Integration<br />

Custom User Interface<br />

Customizable Functionality<br />

Customizable Reporting<br />

Daily Reports<br />

Data Import/Export<br />

Debit Card Processing<br />

Employee Time Clock<br />

End-of-Day Processing<br />

Gift Card/Certificate/Store Credit Processing<br />

History<br />

Holds and Quotes<br />

Independent and Distributed Pricing Options<br />

Inventory Management<br />

Multi-Currency<br />

Layaway Capabilities<br />

Legacy System Integration<br />

Magnetic Card Reader<br />

Multi-Branch Integration<br />

Multiple Station Management Capabilities<br />

Optional Peripherals Support<br />

Ordering Automation<br />

Payment Types<br />

Pricing<br />

Refund Automation<br />

Sales and Discount Automation/Management<br />

Sales Dashboard<br />

Serial and Lot Number Tracking<br />

Service Rentals<br />

Supply Chain Management<br />

Tax Recordkeeping<br />

Touch Screen<br />

User Passwords<br />

Warranty Processing Reporting<br />

Winward Software Inc.<br />

Suite 200 – 3547 Skaha Lake Rd. Penticton, BC V2A 7K2<br />

Phone: 800-663-5750 Fax: 250-492-8886<br />

Contact: Mark Rutter, sales@wws5.com<br />

www.sportsstorepos.com<br />

Company Description:<br />

“SportStorePOS by Winward Software is the best software for sporting good companies …<br />

period. It is an integrated POS, inventory management and accounting software package. It<br />

has been designed based on over 20 years of customer feedback to streamline POS, improve<br />

inventory control and drive profitability.”<br />

Features and Capabilities Available in POS Service Offering<br />

Account Credit Notations<br />

Accounting Integration<br />

Barcode Scanning<br />

Cash Register/Drawer Readings<br />

Commission and Incentives Management<br />

Check Authorization<br />

Credit Card Processing<br />

CRM Integration<br />

Custom User Interface<br />

Customizable Fields<br />

Customizable Functionality<br />

Daily Reports<br />

Data Import/Export<br />

Debit Card Processing<br />

eCommerce Tools<br />

Employee Time Clock<br />

End-of-Day Processing<br />

Forms Printing<br />

Gift Card/Certificate/Store Credit Processing<br />

History<br />

Holds and Quotes<br />

Independent and Distributed Pricing Options<br />

Inventory Management<br />

Multi-Currency<br />

Layaway Capabilities<br />

Legacy System Integration<br />

Magnetic Card Reader<br />

Mobile Access<br />

Multi-Branch Integration<br />

Multiple Station Management Capabilities<br />

Optional Peripherals Support<br />

Ordering Automation<br />

Payment Types<br />

Pricing<br />

Refund Automation<br />

Sales and Discount Automation/Management<br />

Sales Dashboard<br />

Serial and Lot Number Tracking<br />

Service Rentals<br />

Supply Chain Management<br />

Tax Recordkeeping<br />

Touch Screen<br />

User Passwords<br />

Warranty Processing Reporting<br />

<strong>Spring</strong> 2008 | <strong>InsideOutdoor</strong> | 33


the Use<br />

Intelligence<br />

Gear<br />

Real-Time Visibility<br />

Throughout the organization<br />

High Staff Turnover<br />

Capital Constraints<br />

Camping’s Cool Gear, Lukewarm Outlook<br />

by Martin Vilaboy<br />

Store-Level IT Investment<br />

Meeting High Customer<br />

“Steady, consistent, predictable”: those certainly are terms Expectations Federal & State Taxes Generated<br />

that could describe the camping market during the past several by Activity Category, $Billions<br />

years. “Flat participation” is another way to look at it.<br />

Camping 0 10 20 30 40 50 60 70<br />

$36.4<br />

Bicycling<br />

And it’s hard to see the latter as anything other than negative,<br />

or at least worrisome, when considering the massive role Snow SMBsports All Retailers<br />

$8.8<br />

Percentage $17.7 of Respondents<br />

Trail $11.2<br />

camping sales play in the outdoor specialty sector. Camping-related<br />

Paddling $4.8<br />

activities, for example, annually generate almost as much Source: Fishing Gartner Group<br />

$4.1<br />

0.5 1<br />

retail gear sales as snow-, trail- and paddle-based recreations all<br />

Wildlife viewing $2.7<br />

Influence<br />

Hunting $2.2<br />

combined, say figures from Outdoor Industry Association. The<br />

Source: OIA<br />

federal and state taxes generated by camping are more than<br />

double those generated by bicycling, which is the number two Camping, for many, is thought of as a “family activity,” and<br />

activity in terms of tax dollars generated.<br />

How surveys Winners support Focus the on anecdotal Customer-Centricity<br />

assumptions that “camping” is<br />

Looking at the sheer numbers of participants, camping ranks<br />

Educate<br />

largely<br />

and empower<br />

reliant on families setting up a base next to their cars.<br />

behind only hiking, biking and fishing, according to OIA’s most our in-store In a 2005 employees OIA survey, for example, eight out of ten “car campers”<br />

90%<br />

recent participation figures, while the annual spending on durable<br />

using technology<br />

and about two-thirds of those who camped 67% away from<br />

goods per camping participant is second only to skiers their Add self-service cars (63 percent) said they go camping with other family 86%<br />

customer-facing Technologies<br />

among the primary categories of outdoor activities, at about members. We’d venture to guess that a goodly chunk 67% of the<br />

to Improve<br />

It’s all about our product<br />

$440 a year compared to skiers’ $480 a year.<br />

mix. If families we build it, found they at America’s campgrounds are what would 81% be<br />

nels<br />

considered will come. “traditional” families – two parents living together 80%<br />

U.S. Outdoor Activities Markets Comparison, 2006Focus on a<br />

with<br />

more convenient<br />

a couple of kids and maybe a dog.<br />

77%<br />

87%<br />

12%<br />

customerexperience<br />

64%<br />

Participants Gear Retail<br />

Category<br />

The problem is a shift in some U.S. demographics that’s<br />

(000s) Sales ($M)<br />

Improved in-store<br />

71%<br />

leading security to fewer and fewer traditional families to draw from.<br />

65% Camp-based recreation 23% 12% 45,161 $8,676<br />

69%<br />

More According personalized to figures from the U.S. Census and The Brookings<br />

Hunting 12,800 $6,886<br />

73%<br />

Institution, attention from both the average number of persons per household<br />

47% Fishing 36% 16% 32,900 $6,416<br />

our Employees<br />

58%<br />

Bicycle-based recreation 59,837 $6,230<br />

in the U.S. and 0% the percent 20% of family 40% households 60% compared 80% to 100%<br />

total U.S. households have been in decline for well more than<br />

71% Trail-based recreation 26%<br />

55,834 $3,340<br />

Retail Winners<br />

a decade, with those All declines Other<br />

Snow-based recreation 15,587 $3,125<br />

expected to continue into the<br />

5% Paddle-based 51% recreation14%<br />

23,596 $2,668<br />

foreseeable future.<br />

Source: Retail Systems Research<br />

Source: OIA<br />

Then again, maybe camping as a category really hasn’t had<br />

40% 34%<br />

a fair chance. For at least the last two decades, after all, the<br />

In other words, for most general outdoor stores, camping<br />

61%<br />

53%<br />

remains the 33% primary 6% reason why most folks walk through<br />

the doors, and with those campers come all manner of addon<br />

and impulse 38% sales. 9% Even for the more niche-enthusiast,<br />

sport specialty shops, it’s certainly not unusual for hard core<br />

Annual Durable Goods Expenditures Per Participant<br />

$500<br />

rtant<br />

climbers, Not paddlers very important or anglers to visit a campground as part<br />

of their play, so if camping is not a good part of your marketing<br />

$400<br />

and merchandising strategies, an opportunity likely<br />

t Important<br />

is being missed.<br />

$300<br />

Yet since OIA began tallying participation rates in<br />

1998, charts tracking how many people go camping and how $200<br />

often have been nothing but flat, with virtually no period of<br />

sustained growth.<br />

$100<br />

Certainly, it’s not hard to understand the powers working<br />

against camping’s popularity, such as some recent trends involving<br />

$0<br />

“done in a day” adventures, close-to-home pursuits and<br />

“outdoors as a gym.” At the same time, some much larger national<br />

trend lines aren’t exactly making the outlook any rosier for<br />

future participation.<br />

Bicycle<br />

Source: OIA<br />

Water Sports Camping Trail Snowsports<br />

34 | <strong>InsideOutdoor</strong> | <strong>Spring</strong> 2008


PRECISION INTRUMENTS<br />

suunto.com<br />

Visual Impact/Thomas Ulrich<br />

Suunto Vector<br />

The adventure begins, 1998<br />

Suunto Core<br />

Adventure reborn, 2008<br />

It started in 1998 with the Suunto Vector, the wristop that redefined outdoor adventure. Nearly a decade later we<br />

introduce the Suunto Core, a wristop that turns mountains into molehills. The next stage in outdoor adventure has arrived.<br />

The original Suunto Vector and the new Suunto Core. Let the adventures begin.<br />

Available at specialty outdoor and sporting goods stores.<br />

Visit suunto.com to learn more about Suunto outdoor<br />

sports instruments.<br />

Available at specialty outdoor and sporting goods stores.


Gear<br />

“outdoors,” and “outdoor activities” largely have been presented,<br />

at least to mainstream audiences, almost exclusively through<br />

high-energy action sports, speed, thrills and the element of risk.<br />

Most folks, most of the time, simply don’t often run into messaging<br />

that emphasizes communing with nature or bonding with<br />

friends and relatives. Maybe that needs to change. A recent survey<br />

by Leisure Trends, for example, suggests Americans are split<br />

on whether outdoor time should be used for physical exercise or<br />

relaxing, with 56 percent preferring to take it easy and socialize<br />

when outdoors and 46 percent preferring to be active.<br />

There also might be an opportunity to align with the nation’s<br />

concerns over the economy by re-emphasizing the<br />

financial relief afforded by a camping vacation, even when<br />

including any initial gear purchases. Nowadays, a brand new<br />

family tent came be gotten for less than $200, sometimes<br />

less than $100. That’s clearly less than a few nights at a hotel<br />

for a family of four, and the tent can be used for several years.<br />

Appetizing food, meanwhile, easily can be packed nowadays<br />

for a fraction of the cost of a few meals at a restaurant, and<br />

the campground is far removed from the snack shops, t-shirt<br />

stands, arcades and activities that empty a parent’s wallet at<br />

a typical tourist trap.<br />

Indeed, there is a small amount of historical data to suggest<br />

such a case would resonate with consumers. After the attacks<br />

of 9/11, another period in time when Americans experienced<br />

a sense of instability, there were brief but noticeable rises in<br />

number of total camping outings and the average number of<br />

outings per participant. In 2002, both outings and frequency<br />

hit their highest levels since the late 1990s.<br />

There’s also lots of cool gear and gadgets to rally around, in<br />

terms of both equipment and accessories. To get some of those<br />

creative, marketing juices flowing, following is a small selection<br />

of innovative new items that we believe possess strong sellthrough<br />

potential among the crowd of campers.<br />

Eureka! N!ergy Screen House<br />

After hearing the “oohs” and “ahs” over its original N!ergy tents<br />

last year, Eureka added the N!ergy Screen House for this year. Ideal<br />

for campgrounds, picnics or a full day at<br />

the soccer field, the new N!ergy<br />

Screen House features all the<br />

benefits of Eureka!’s portable<br />

and rechargeable E! Power<br />

system to power 12-volt accessories<br />

inside the tent.<br />

The three-season screen<br />

house contains four<br />

independently controlled<br />

outlets. Three are<br />

detachable and can swing to the center of<br />

the screen house for table-top use. The fourth, fixed outlet is positioned<br />

in the center of the ceiling to power an overhead light or fan.<br />

This six-pole rectangular screen house has 120 square feet<br />

of interior space, and the factory installed wiring system<br />

can be removed by unfastening the hook-and-loop closures<br />

of the built-in wiring sleeves. Suggested retail is<br />

$214.90 (including the E! Power Pak, sold separately).<br />

www.eurekatent.com<br />

Primus EasyLight Latern<br />

The EasyLight offers just about everything a<br />

camper would want in a lantern. It’s compact, bright<br />

and easy to light. Running on pressurized gas canisters,<br />

the EasyLight also features a patented, almost<br />

noiseless burner and adjustable brightness settings<br />

that max out at 80 Watts. The EasyLight weighs 6.8<br />

ounces and requires only 55 cubic inches of pack<br />

space. Made of corrosion and maintenance-free<br />

materials, it comes standard with a piezo electric<br />

igniter and retails for $65. www.nagear.com<br />

Fozzils ThinkFlat Tableware<br />

There are no more good excuses to use paper plates at the campsite.<br />

Fozzils ThinkFLAT designs are super light, pack flat then snap<br />

into full-size tableware with a few folds. Easy to clean with a nonstick<br />

surface, Fozzils are designed<br />

for the ultra-light backpacker<br />

but also can be conveniently<br />

used for short hikes, picnics,<br />

travel and even as dog bowls.<br />

My kids even have taken their<br />

foldable bowls to the movie<br />

theatre to divide up that big tub<br />

of popcorn. www.fozzils.com<br />

La Fresh Sunscreen Travel Wipes<br />

Applying sunscreen lotion to squirming kids is not exactly a fun<br />

time for parents, and it’s never easy<br />

to make sure their sun-exposed<br />

parts get full coverage. Sunscreen<br />

travel wipes make the<br />

job so much easier, and La<br />

Fresh uses “high-end sunscreen”<br />

and biodegradable<br />

towelettes for its new<br />

SPF 30 Sunscreen<br />

Travel Wipes. Easy to<br />

pack, with no risk of<br />

leaks or messy explosions,<br />

the wipes<br />

come in packs of<br />

four at a suggested<br />

retail of $4.50. Also new<br />

from La Fresh are all-natural,<br />

biodegradable and Deet-free insect repellant towelettes.<br />

www.LaFreshGroup.com<br />

36 | <strong>InsideOutdoor</strong> | <strong>Spring</strong> 2008


Gear<br />

Coghlan’s Micro Latern<br />

The LED Micro Lantern stands a<br />

mere 2 inches tall and weighs around<br />

1 ounce with batteries – making it one<br />

of the smallest and lightest lanterns<br />

around the campsite. The Micro Lantern<br />

features a rugged plastic body with a water-resistant<br />

rubber switch and a keychain<br />

mounted on top. For distress situations,<br />

the Micro Lantern has a flashing mode that<br />

blasts out its bright LED light for a full 50<br />

hours using two three-volt button cell batteries.<br />

In regular mode, the batteries will last for<br />

up to 25 hours. www.coghlans.com<br />

HitchSafe Key Vault<br />

Having once dropped my car keys in a rolling stream, at night,<br />

while camping in Carson National Forest, New Mexico, it’s not<br />

hard to see the value of the HitchSafe Key Vault. Better<br />

for spare key storage<br />

than crawling<br />

under your truck<br />

to find where<br />

you put the<br />

hide-a-key, the<br />

HitchSafe also<br />

addresses the dilemma<br />

of securing keys,<br />

cash and credit cards at<br />

times when carrying them<br />

can be a hassle, or there is<br />

a chance that any cash or credit cards left in the vehicle could<br />

be stolen. The HitchSafe is secured with two hitch pins inside<br />

the hitch receiver via two sliding metal bolts. The bolts can be<br />

removed only when the 10,000-combination drawer is removed,<br />

and the combination drawer is concealed and protected with a<br />

dust cover. It takes only seconds to install/uninstall with no tools<br />

required. www.hitchsafe.com<br />

Java Log & Pine Mountain Firelogs<br />

The U.S. Forest Service says transporting firewood lets treekilling<br />

insects hitch a ride into the woods. These insects cause<br />

billions of dollars in damage, lost revenue and prevention expenses<br />

every year. In some states, bringing firewood into parks<br />

is no longer allowed, and in-park firewood collection tends to be<br />

discouraged, if not prohibited. The solution? Turns out shopping<br />

may be more eco-friendly than chopping. The new Java-Log, for<br />

example, is made with recycled spent coffee grounds and allnatural<br />

wax, while all-Natural Pine Mountain firelogs are made<br />

from renewable resources, including recycled sawdust and<br />

all-natural wax. Both Java-Log and Pine Mountain firelogs are<br />

longer-burning than firewood, (2 to 3 hours per log), produce<br />

fewer emissions than firewood and require no kindling or stoking<br />

(simply light the paper wrapper). www.Java-log.com, www.<br />

pinemountainbrands.com<br />

Fargason Tent Chair<br />

It’s always a bonus when a product has multiple applications,<br />

and the Tent Chair is ideal for just about any activity under<br />

the sun. Aside from the campground, the Tent Chair is ideal for<br />

the beach, watching little<br />

league games, waiting for<br />

the fish to bite or in the<br />

back yard by the pool. It’s<br />

designed to set up in minutes,<br />

weighs 10 pounds in<br />

its carrying case and can<br />

support adults up to 295<br />

pounds. It features two<br />

large, zippered windows in<br />

the canopy and a zippered<br />

storage pouch. Fargason<br />

offers the Tent Chair in<br />

five colors: blue, red, yellow,<br />

crimson, camouflage<br />

and checkered flag. www.<br />

fargasonoutdoors.com<br />

<strong>Spring</strong> 2008 | <strong>InsideOutdoor</strong> | 37


Floor Space<br />

Gramicci’s Real Estate Investment<br />

by Martin Vilaboy<br />

Gramicci doesn’t claim to be revolutionizing the retail buying<br />

process. Rather, buyers within the largest retail segments, such<br />

as food and drug, mass merchandise and department stores,<br />

for years have handled ordering and replenishment in much<br />

the same way that Gramicci is proposing, says Marty Weening,<br />

Gramicci president.<br />

That’s not so much the case within the outdoor segment,<br />

however, and so Gramicci’s new “visual merchandising matrix”<br />

program and the corresponding buy plans represent a possible<br />

point of evolution for its outdoor specialty dealer base.<br />

The outdoor industry’s traditional buying process for apparel,<br />

which forces buyers to pour over extensive products lines,<br />

cherry pick the particular SKUs that might appeal to their specific<br />

customer base, estimate demand for the units and then<br />

merchandise the disparate garments together on the sales floor<br />

(repeat and reorder), lacks simplicity, efficiency and fails to address<br />

a key element of the retail business, say Weening.<br />

“Retail is a matter of real estate,” he says.<br />

With that in mind, Gramicci has simplified purchasing, re-ordering,<br />

inventory control and point-of-sale merchandising for its<br />

dealers via three pre-established buy plans based on the fixtures<br />

and square footage a retailer is willing to dedicate to the brand.<br />

The three different visual merchandising matrices, meanwhile,<br />

quickly show how the garments and collections merchandise<br />

together on the retail floor, each being a three-dimensional representation<br />

based on the allotted square footage.<br />

“Buyers are under a tremendous amount of pressure,” says<br />

Matthew Kaseta, Gramicci vice president of sales, faced with<br />

a growing number of brands, expanding product lines and<br />

shorter deadlines. “So our goal is to make it as easy as possible<br />

for them.”<br />

Gramicci Buy Plan Sample, Women’s<br />

Date Units Dollars<br />

G 350 Buy Plan (Space requirement, less wall, 350 square feet)<br />

Delivery 1 6/15 450 $10,000<br />

Delivery 2 8/1 520 $15,000<br />

G 350 Totals - 970 $25,000<br />

G 240 Buy Plan (Space requirement, 240 square feet)<br />

Delivery 1 6/15 250 $6,000<br />

Delivery 2 8/1 350 $9,000<br />

G 240 Totals - 600 $15,000<br />

G 120 Buy Plan (Space requirement, 120 square feet)<br />

Delivery 1 6/15 188 $3,500<br />

Delivery 2 8/1 184 $6,000<br />

G 120 Totals - 372 $9,500<br />

Retailers can choose from three preconfigured buy plans:<br />

G 120, G 24O or G 350, the numbers representing the respective<br />

square-footage space requirement. Utilizing their<br />

existing fixtures, retailers then receive branded toppers for<br />

each fixture and a selection of pre-merchandised apparel to<br />

match the corresponding rack space and square footage,<br />

the apparel broken down by gender and pre-determined delivery<br />

dates.<br />

Again, the driving force behind the program is to simplify<br />

matters for the buyer. Gramicci realizes its line of apparel is big<br />

and broad. And while the company has broken down its offering<br />

into four collections (Authentic Originals, Built for Sport, Gramicci<br />

Life and Greenicci), the G buy plans provide added focus,<br />

reducing the amount of guesswork on the part of the buyer and<br />

easing the decision-making process.<br />

Of course, “the last thing you want to do is tell a buyer,<br />

‘You have to buy this’” says Kaseta. And so the buy plans and<br />

merchandising matrices ultimately that may be serve as recommendations.<br />

Buyers are welcomed to tailor and tweak the<br />

selection of garments according to their local demographics,<br />

climate and so forth.<br />

A retailer in Texas, for example, might prefer to swap out<br />

some of the long-sleeve tops within a buy plan assortment with<br />

more short-sleeve tops, and while each G plan initially contains<br />

garments from all four Gramicci collections, a retailer that may<br />

be near a college campus can increase the number of garments<br />

from the Gramicci Life or Greenicci collections.<br />

Granted, opting into one of the Gramicci buy plans require<br />

buyers to place a good deal of trust in Gramicci’s designers and<br />

merchandisers, possibly reducing the input of any local market<br />

expertise and instinct. On the other hand, partners in the VMM<br />

platform benefit from Gramicci’s 25 years of design expertise,<br />

market research and intelligence.<br />

Gramicci also maintains a network of about a dozen retailers<br />

across the country, ranging from single-store operations to<br />

national chains, from which the company collects sell-through<br />

data twice a month, says Kaseta. “It gives us an idea of what<br />

is moving, what styles are selling and what colors are selling in<br />

what markets.”<br />

That data, likewise, can be applied to modifying and updating<br />

Gramicci’s buy plans.<br />

And more information, in turn, makes any decision-making<br />

process that much simpler, “and more accurate,” adds Kaseta.<br />

“If we can provide that information and help our retailers<br />

improve their sell through, as well as their margin and their confidence<br />

in Gramicci,” he continues, “that’s only going to benefit<br />

them, and us, as well.”<br />

38 | <strong>InsideOutdoor</strong> | <strong>Spring</strong> 2008


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Back Office<br />

On the Records<br />

Remaining safely behind the corporate veil<br />

by Phil Josephson<br />

Corporation: An ingenious device for obtaining profit without<br />

individual responsibility. ~Ambrose Bierce<br />

PCV Equipment LLC and its members are sued for breach of<br />

a distribution agreement, and the court finds against PCV and its<br />

members. Outdoor Advanced Company fails to get the capital<br />

infusion it desperately needed. U.S. Outfitters & Marine Corp.<br />

comes out on the wrong end of an Internal Revenue Service<br />

audit, and the company and its shareholders have to restate<br />

financials and pay penalties. The planned acquisition of HighKing<br />

Systems is postponed, and the acquisition price is reduced.<br />

What do all of these entities and scenarios have in common?<br />

In each case, the entities and their shareholders/members<br />

failed to follow corporate formalities and failed to keep proper<br />

and thorough corporate records.<br />

Business owners choose to get into business and choose<br />

an entity form that suits their situation. The primary concern to<br />

the business owners in choosing the entity form is typically the<br />

protection from risks that a growing business may face. The key<br />

to this protection, however, is in maintaining the independent<br />

existence of that entity going forward. Failure to treat the entity<br />

properly and as an independent entity will erode the shield afforded<br />

by the entity, and personal liability can ensue. Thus, in order for<br />

any entity to preserve its special, limited liability status, it must<br />

observe certain formalities and take certain actions. Formalities<br />

include (minimally) the issuance of ownership certificates,<br />

electing officers and directors, following the company bylaws/<br />

operating agreement, maintaining proper corporate records and<br />

keeping corporate and personal funds clearly separate. If these<br />

formalities are not followed, the entity and its limited liability<br />

status are vulnerable to attack. Here are some examples.<br />

Piercing the Veil<br />

Company shareholders/members generally are insulated<br />

from personal liability for the company’s debts. This limited<br />

liability is known as the “corporate veil.” But the veil is not an<br />

absolute shield. In some cases, a court may pierce the veil and<br />

hold a shareholder/member personally liable. Piercing is most<br />

commonly done when a company is the shareholders’ “alter<br />

ego” or is used to evade creditors.<br />

In our hypothetical example above, PCV Equipment failed to<br />

observe corporate formalities and the court found that the members<br />

were treating the entity as another pocket. Thus, the corporate veil<br />

is pierced, and the three members are held responsible for the<br />

breach and associated damages. To paraphrase a leading authority,<br />

if the shareholders/members or the company disregards the legal<br />

separation or proper formalities of the company existence, then<br />

the law will likewise disregard them.<br />

Growth Plans<br />

Outdoor Advanced Company needed a capital infusion to<br />

help with some upcoming cash flow issues that they anticipated.<br />

The company was not “in trouble” but certainly needed the<br />

additional cash in order to pursue growth plans. Though OAC<br />

had a good relationship with its lenders, the company was<br />

unable to produce certain minutes and resolutions during the<br />

standard due diligence process. The lenders viewed this not<br />

as an “oversight” but rather an egregious failure to operate an<br />

entity. OAC subsequently received lending but months later<br />

from a different, less-friendly source.<br />

Audit<br />

Pursuant to a routine audit, the Internal Revenue Service<br />

came calling to Outdoor & Marine Corp. and its handful of<br />

shareholders. Outdoor & Marine Corp. was unable to timely<br />

produce necessary corporate records, was unable to show<br />

that it was following company bylaws and was unable to show<br />

loan documentation with certain shareholders. As a result, the<br />

IRS forced the shareholders and the company to restate their<br />

financial position and prior tax returns.<br />

Exit Strategies<br />

The owners of HighKing Systems were thrilled to<br />

have a suitor interested in acquiring the company.<br />

The owners stood to profit handsomely from the transaction<br />

based upon the offer price in the letter of intent.<br />

During due diligence, however, the potential acquirer found<br />

discrepancies in the corporate records and associated<br />

capitalization ledger. This led to distrust, months of follow<br />

up and a renegotiation of the purchase price. The transaction<br />

Protecting the Company and the Veil<br />

Document capital infusions<br />

Prepare annual minutes for meetings of shareholders/members and directors<br />

Adopt resolutions reflecting approval of all major company actions<br />

File annual statements and pay necessary fees<br />

Make sure the entity’s structure is correctly documented and well documented<br />

Maintain thorough and accurate corporate records<br />

Properly hold and document shareholder/member meetings<br />

Properly hold and document director/manager meetings<br />

Properly hold and document special meetings of directors and of shareholders/<br />

members<br />

Follow the bylaw/operating agreement<br />

Document loans between the company and shareholders/members<br />

40 | <strong>InsideOutdoor</strong> | <strong>Spring</strong> 2008


Back Office<br />

was subsequently contemplated but at a lower price than<br />

the owners anticipated.<br />

Record Breaking<br />

The maintenance of proper and thorough corporate<br />

records is vital to the ongoing existence of the company. The<br />

corporate records provide a historic road map of the company<br />

for anyone that may review the records in the future. This<br />

does not mean that a company must have a written record<br />

of each trip to Office Depot. But, for transactions outside the<br />

ordinary course of business or those that enable the company<br />

to be in business, appropriate documents should be in the<br />

corporate records.<br />

Rule of thumb: document anything for which you do not<br />

want someone held personally liable. The corporate veil is only<br />

as thick as the corporate record book.<br />

Keeping corporate records should not be painstaking, and<br />

thus it is hard to conceive that the hypothetical scenarios above<br />

occur each day. First, actually hold all meetings called for by<br />

the bylaws/operating agreement. For all of those meetings,<br />

be sure to send out notices as prescribed for in the bylaws/<br />

operating agreement. Second, create succinct minutes of<br />

meetings, not a scroll of everyone’s thoughts. Finally, execute<br />

and file all appropriate notices, proxies, minutes, resolutions<br />

and amendments.<br />

Proper and thorough corporate records are essential, and<br />

the failure to maintain these records can be detrimental to the<br />

company and its owners, as illustrated above. But maintaining<br />

corporate records should not be a chore. Rather, think of<br />

proper and thorough corporate records as the foundation for<br />

the company’s existence.<br />

At anytime, you (or anyone) should be able to look at the<br />

corporate record book for a historic roadmap of key decisions<br />

made and the reasons for those decisions. In addition, the<br />

corporate record book should also provide a snapshot of the<br />

company’s legal, financial and capitalization health, which<br />

will place the company in an advantageous position as you<br />

present yourself before providers of capital and exits.<br />

Philip Josephson is the founder of the Law Office of Philip<br />

Josephson. Philip and the firm deliver corporate legal and<br />

business advisory services to clients throughout North America.<br />

Philip holds a J.D. from the University of Miami, a M.B.A. from<br />

Columbia University; is a member of the Florida Bar, the Arizona<br />

Bar, and the Federal Communications Bar; and may be contacted<br />

at pjosephson@josephson-law.com.<br />

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<strong>Spring</strong> 2008 | <strong>InsideOutdoor</strong> | 41


Greensheets<br />

Carbon Footprint 101<br />

Part II: Preparing for a Life Cycle Assessment<br />

by Ernest Shiwanov<br />

In the last issue of Inside Outdoor (Winter 2008), we<br />

covered the concept of carbon footprint and the tools used<br />

to make that assessment (IO archives can be found at www.<br />

insideoutdoor.com). Part II will cover what you probably will be<br />

looking at in terms of dollars and time for your operation’s life<br />

cycle assessment (LCA).<br />

The good news is technological advances and recent<br />

revisions in process LCAs and Economic Input Output LCAs<br />

(EIO-LCAs) have made the process viable for just about any<br />

level of business. Your LCA professional will guide you through<br />

an evaluation of your business so you will know what level<br />

of assessment would be appropriate. What follows is a brief<br />

refresher on the LCAs and basic information on some of the<br />

companies that are providing this service.<br />

Let us begin by reviewing the three basic methods of<br />

LCAs:<br />

1. For process LCA or bottom-up LCA, ISO (International<br />

Standards Organization) 14040-2006 and 14044-2006 is the<br />

methodology.<br />

2. Economic Input Output LCA (EIO-LCA) or top-down LCA is<br />

based on the work of W. Leontief. It uses a general equilibrium<br />

model that makes a simplified assumption regarding the<br />

output of goods in a commodity sector and its proportional<br />

relationships to other sectors. More and more, EIO-LCA<br />

service providers are incorporating process LCA elements<br />

into their analysis, if appropriate, for their clients.<br />

3. Hybrid LCA, like the car that uses both gasoline and electricity,<br />

runs on process LCA and EIO-LCA methodologies.<br />

Process LCA<br />

Five Winds International director John Heckman says that<br />

Five Winds has done ISO 14040 conforming studies for under<br />

$10,000 and in less than 30 days. He is quick to point out that<br />

Five Winds also has undertaken studies that last several years<br />

at cost commensurate with the commitment. Every business is<br />

unique, so you can assume that your business probably will be<br />

somewhere in between those two sets of circumstances.<br />

As far as the nuts and bolts go, Heckman explains that the<br />

starting point for an ISO 14040 study is the “goal and scope”<br />

definition meeting with the client. He suggests if you want to see<br />

what you need to prepare for an LCA, read ISO 14040 and 14044.<br />

As it turns out, ISO 14040 and 14044 were simplified in 2006 to<br />

make the standard more user friendly, cutting the amount of pages<br />

nearly in half, resulting in ISO 14040-2006 and 14044-2006.<br />

Heckman likens the standards to accounting rules for<br />

mapping “all material and energy flows from cradle to end-oflife.<br />

It’s very analogous to financial accounting, really.”<br />

He goes on to say that the World Resources Institute (WRI)<br />

and the World Business Council for Sustainable Development<br />

(WBCSD) and ISO 14064.1-3 are on the same page in bringing<br />

about carbon dioxide measurements. In fact, a quick check<br />

revealed that ISO, WRI and WBCSD elected to jointly promote<br />

both the ISO standards 14064 and WRI’s and WBCSD’s<br />

GHG Protocol Initiative (GHG = greenhouse gas). Their first<br />

promotional event was held at the UN Climate change meeting<br />

last year in Bali.<br />

On the differences between process LCAs and EIO-<br />

LCAs, Heckman uses an analogy of a magnifying glass and a<br />

microscope, “both being useful tools to a researcher.” However,<br />

if you require the actual environmental impact analysis for the life<br />

cycle of materials and their energy flow, and have the money to<br />

do a complete study, process LCA is the most appropriate tool.<br />

“There is no substitute for actual data,” he says.<br />

Conscious Brands’ experience, meanwhile, lies in the organic<br />

food and beverage industry. Guayaki (yerba matte tea, etc.) and<br />

Manitoba Harvest are just two of Conscious Brands’ clients.<br />

Rob Sinclair and Oliver Ferrari are the principle consultants that<br />

have partnered with Greenhouse Gas Protocol (GHG Protocol<br />

Initiative, see above), Zerofootprint and ISO 14040 in bringing<br />

carbon mitigation strategies to their clients. A typical study will<br />

take at least six months and cost around $10,000.<br />

However, it is worth mentioning that both Sinclair and<br />

Ferrari are on steering committees involved in the Carbon<br />

Trust-sponsored British Standards Institution Publicly Available<br />

Specification 2050 or BSI PAS 2050 standard.<br />

According to the Carbon Trust Web site, “The PAS aims<br />

to bridge the gap between the existing detailed (process<br />

LCAs) and more general approaches (EIO-LCAs) and provide a<br />

standardised, consistent method organisations can practically<br />

use for measuring the GHG emissions embodied in products<br />

and services.” The PAS 2050 standard has an egalitarian “for<br />

the people, by the people” foundation, as Sinclair explains. It<br />

was developed with the help of many businesses, industries<br />

and thousands of individuals.<br />

Despite this emerging hybrid LCA standard, Sinclair and<br />

Ferrari feel there is a disconnect between the organic foods<br />

consumers buy and the way carbon numbers relate to them.<br />

For that reason, during the next six to 12 months, they will<br />

be working on a method for taking the numbers derived from<br />

the various assessment tools to the “next step.” That is a way<br />

for consumers to get their hands around the meaning of GHG<br />

mitigation. This effort will be represented in a scheme called<br />

www.carbonlabels.org, a joint project by Conscious Brand’s<br />

Sinclair and Ferrari and Zerofootprint. This initiative goes beyond<br />

42 | <strong>InsideOutdoor</strong> | <strong>Spring</strong> 2008


Greensheets<br />

the scope of this article but is worth the time to see what is<br />

happening right here in North America. Stay tuned.<br />

Rebecca Graham of Scientific Certification Systems says her<br />

company has various certifications to document environmental<br />

performance. Clients can have a “single attribute claim” study<br />

performed for just recycled and reclaimed content or can take<br />

it a step further and go through an Environmentally Preferable<br />

Product (EPP) certification. The latter is oriented toward product<br />

or products in a company’s range that have environmental<br />

advantages over their competitors in the marketplace. For<br />

instance, you may have an EPP certification done on day packs<br />

from your environmentally friendly product line in order to<br />

distinguish them from similar products by your competitors.<br />

SCS’s most comprehensive analysis is its full Lifecycle<br />

Assessment and Environmental Performance Declaration<br />

(EPD), “for companies that want to know the full environmental<br />

effects of the processes and products they offer,” say company<br />

executives. The cost to start with Phase 1, the scope definition,<br />

is $5,000. You actually can initiate the process online and pay<br />

with PayPal.<br />

SCS will send a representative to your company for a day<br />

to train key personnel in life cycle principles and data inventory<br />

requirements necessary for Phase 2 of the EPD. Since every<br />

company is different, and SCS’s comprehensiveness is based<br />

on the complexity of the study, the total cost is determined<br />

after the scope definition for Phase 2 is complete. Time to<br />

completion of the EPD is based on the intricacies of the study.<br />

EIO-LCA and Hybrid LCA<br />

Climate Earth’s co-founder Chris Erickson saw a major vacuum<br />

in the LCA industry. He believes that most methods require<br />

“detailed low-level analysis,” can take many months to accomplish,<br />

are expensive and still do not provide a “total enterprise view.”<br />

Therefore, he and his team have developed a threepronged<br />

approach to obtaining carbon reduction strategies<br />

using a hybrid method.<br />

The company’s Revenue Based Assessment (RBA) is its<br />

most inexpensive carbon footprint assessment that analyzes “the<br />

enterprise’s footprint, from cradle to consumer.” The client supplies<br />

company product revenue figures and country of origin data.<br />

Climate Earth returns, according to its Web site, an executive-level<br />

evaluation of the business’s carbon “footprint by product category<br />

and major supply chain function.” The RBA provides a baseline for<br />

a company’s sources of CO2 emissions and is usually completed<br />

in a week for $2,295 for up to five product categories. Additional<br />

standard product categories can be added for $200 each. Custom<br />

product categories can be added for $400 each.<br />

The next step up from Climate Earth is its Expense Based<br />

Assessment or EBA. This report can be generated in about<br />

10 days for $5,995. Here, the EBA adds a more thorough<br />

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<strong>Spring</strong> 2008 | <strong>InsideOutdoor</strong> | 43


Greensheets<br />

representation of the client’s business, including cost structure<br />

to the RBA’s baseline. Obviously, with a more comprehensive<br />

understanding of the business, the goals and feedback on<br />

carbon footprint are more precise.<br />

An extension of the EBA is the Mitigation Assessment (MA). The<br />

MA quantifies specific mitigation targets that are, in turn, integrated<br />

into the EBA. Contact Climate Earth for details on this service.<br />

Elsewhere, Climate Cooler’s Michel Gelobter is soon to be<br />

on a DVD near you. As one of the experts in The 11th Hour, a<br />

global warming documentary narrated by Leonardo DiCaprio,<br />

Gelobter has had a lifelong academic and activist commitment<br />

to the environment. With his Cooler Complete, he has come<br />

up with a scalable solution for retailers and manufacturers<br />

committed to becoming carbon neutral.<br />

Since he offers a hybrid approach, the time to complete a<br />

study varies with the depth of the analysis. The costs vary as<br />

well, with “an average of 0.05 to 0.3 percent of a product’s retail<br />

price for its service,” he explains. To initiate the work, you will<br />

need the price of the product, weight and country of origin.<br />

Climate Cooler also has an e-commerce Web site called<br />

Cooler. Cooler makes it easy to allow consumers to eliminate<br />

greenhouse gases attributed to purchases made on the site.<br />

The consumer has thousands of goods or services to choose<br />

from by many manufacturers or retailers, such as REI, Target<br />

and Sony. Once the online purchase has been made, the<br />

participating manufacturer or retailer pays Cooler. Then Cooler,<br />

through carbon offset partners, obviates the global warming<br />

impact of what was sold in 30 days or less.<br />

The above sampling of LCA providers are part a growing<br />

number of organizations that can help a retail or manufacturing<br />

business get on the carbon-neutral highway. Do your homework<br />

before you commit to a firm, and make sure your products or<br />

services complement the provider’s area of expertise.<br />

As carbon mitigation standards and verification strategies<br />

evolve, the LCA industry will become more standardized<br />

and precise. During the next several years, scientific and<br />

technological advances will continue to shape the way we deal<br />

with GHG emissions.<br />

Unfortunately, as a civilization, we have little time to dwell<br />

on the coming changes in the LCA standards.<br />

Sources and Contacts<br />

www.climatecooler.com<br />

www.climateearth.com<br />

www.consciousbrands.com<br />

www.carbonlabels.org<br />

www.zerofootprint.net<br />

www.fivewinds.com<br />

www.scscertified.com<br />

www.sylvatica.com<br />

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<strong>Spring</strong> 2008 | <strong>InsideOutdoor</strong> | 45


Green Sheets<br />

The Green Glossary<br />

by Ernest Shiwanov<br />

Buzz words like sustainability, compostable<br />

and cradle-to-grave are regularly<br />

bandied about by authorities and spinmeisters.<br />

Many use terms interchangeably<br />

or incorrectly. So Inside Outdoor decided<br />

to parse the greenwash lexicon and take<br />

a stab at a short glossary of definitions.<br />

The following definitions are as organic<br />

as the topics they address. They are more<br />

operative than definitive, with the underlying<br />

subtext being about the discourse that<br />

we hope to continue. Indeed, these definitions<br />

are “alive,” and we expect them<br />

to evolve as new standards are set, technologies<br />

are developed and our industry<br />

grapples with the “sustainability” (see below)<br />

of our businesses. A la Wikipedia, we<br />

welcome anyone who would like to add,<br />

change or modify definitions to submit<br />

their insight to ernest@bekapublishing.<br />

com. The Green Glossary will continue to<br />

appear in future issues of IO.<br />

Biodegradable<br />

Aerobic decomposition of a organic<br />

matter through the action of microorganisms<br />

or aerobes. There are no standards<br />

for eco-toxicity or length of time before<br />

degrading to biomass and, in some cases,<br />

eco-toxins.<br />

Cap and Trade<br />

See Emissions Trading.<br />

Carbon Neutral<br />

or Carbon Offset<br />

To offset or neutralize net greenhouse<br />

gas emissions.<br />

This can be achieved by planting trees,<br />

using renewable energy, energy conservation<br />

and emissions trading. Critics contend<br />

there is no definitive evidence that carbon<br />

offsets work since there are no models<br />

or standards that clearly demonstrate<br />

the equilibrium.<br />

Compostable<br />

The biodegradability of an organic material,<br />

mostly to biomass, water and carbon<br />

dioxide. Compostable environments<br />

include industrial settings and common<br />

garden or open space locations. All standards<br />

agree on a six-month period for the<br />

organic matter to degrade. Most standards<br />

support these tests:<br />

• Does it biodegrade to carbon dioxide,<br />

water, biomass at the rate paper biodegrades?<br />

• Does the material disintegrate leaving<br />

no distinguishable or visible residue?<br />

• Are there any eco-toxic materials left,<br />

and can the remaining biomass support<br />

plant growth?<br />

American Society for Testing and<br />

Materials (ASTM) D6400-99 says to<br />

be considered compostable, materials<br />

must undergo degradation by biological<br />

processes during composting to yield<br />

carbon dioxide (CO2), water, inorganic<br />

compounds and biomass at a rate consistent<br />

with other compostable materials,<br />

leaving no visible, distinguishable<br />

or toxic residue.<br />

The EN (European Committee for<br />

Standardization or Comité Européen de<br />

Normalisation) standard is even more<br />

specific. EN13432 states that a material is<br />

deemed compostable if it will breakdown<br />

to the extent of at least 90 percent to H2O<br />

and CO2 and biomass within six months.<br />

There are other standards as well with<br />

DIN V49000 from the German Institute<br />

for Standardization being the strictest<br />

in the allowance of heavy metals. Many<br />

might be familiar with DIN standards for<br />

their safe release ski bindings.<br />

Cradle-to-cradle<br />

The life cycle of a product from manufacture<br />

to re-manufacture.<br />

46 | <strong>InsideOutdoor</strong> | <strong>Spring</strong> 2008


Cradle-to-gate<br />

The life cycle of a product or process<br />

from manufacture to end-user. Also<br />

known as environmental product declarations<br />

(EPD).<br />

Cradle-to-grave<br />

The life cycle of a product from manufacture<br />

to end-of-use disposal.<br />

Degradable<br />

A material that undergoes chemical<br />

change and a loss of original characteristics<br />

due to environmental conditions.<br />

There are no requirements for time, process<br />

or toxicity for this method.<br />

Emissions Trading<br />

A practice in which businesses are<br />

given an emissions cap, in the form of<br />

credits, that allows them to pollute up to<br />

a maximum credit level. Businesses that<br />

exceed their cap must purchase (or trade)<br />

credits from a company that has not exceeded<br />

its cap.<br />

Some problems with the Cap and<br />

Trade concept include where to set the<br />

initial levels of the caps, retiring old credits,<br />

resetting caps, and regulatory/compliance<br />

standards.<br />

Environmental Product<br />

Declarations (EPD)<br />

The life cycle of a product from manufacture<br />

to end-user. Also know as cradleto-gate.<br />

Gate-to-grave<br />

The life cycle of a product from the<br />

end-user to end-of-use disposal.<br />

Life cycle assessment (LCA)<br />

A comprehensive assessment of the<br />

impact of a product or process, from<br />

inception to the end of its “life.” The assessment<br />

includes transportation of raw<br />

materials to the manufacturer, manufacturing<br />

of materials, transportation of<br />

materials to the product manufacturer,<br />

manufacturing of product, transportation<br />

of product to end-users, impact of product<br />

by end-user and disposal of product<br />

by end-user.<br />

The assessment has been used as a<br />

tool to evaluate a product’s or company’s<br />

eco-performance, which in turn can be<br />

used to improve it.<br />

Life Cycle Management (LCM)<br />

An integrated approach to sustainable<br />

production and consumption through the<br />

management of a product’s or process’<br />

life cycle.<br />

Life Cycle Energy<br />

Analysis (LCEA)<br />

The total life cycle energy input. Criticism<br />

in utilizing LCEAs include the argument<br />

that different energy sources have<br />

different potential value (exergy). Additionally,<br />

critics contend that LCEAs’ energy<br />

currency cannot supplant economic<br />

currency as the determinant in business.<br />

Organic<br />

In textile technology, organic refers to<br />

standards ensuring sustainable practices<br />

during all phases of fiber production.<br />

Beginning with every aspect of cultivation<br />

under the National Organic Program<br />

(NOP) guidelines, post-harvest wet processes<br />

such as dying and bleaching, textile<br />

fabrication, manufacturing of goods,<br />

transportation, worker environment,<br />

labeling/compliance, packaging, exportation<br />

and importation are comprehensively<br />

addressed.<br />

Presently, there are no processing<br />

standards for organic fibers from the U.S.<br />

federal government beyond cultivation<br />

ending with the consumer.<br />

<strong>Spring</strong> 2008 | <strong>InsideOutdoor</strong> | 47


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For standards related to organic food,<br />

please see: http://www.ams.usda.gov/nop/<br />

indexIE.htm.<br />

Oxo-biodegradation<br />

A two-step process that begins with<br />

degradation by oxidation, followed by biodegradation.<br />

A variation of this developed for polymers,<br />

such as polyethylene, add a degradability<br />

component during the material’s manufacturing.<br />

The added component allows<br />

the polymer to thermo- (heat), photo- (light),<br />

or hydro- (water) degrade within 90 days in a<br />

commercial composting environment.<br />

It is purported that in non-commercial<br />

composting environments, the biodegradation<br />

will take place but at a much<br />

slower rate.<br />

RoHS<br />

An acronym for Restriction of Hazardous<br />

Substances Directive (the lead-free<br />

directive).<br />

Although not a law, the European Union<br />

passed this directive in 2006, limiting the<br />

use of six materials in any part of electronic<br />

and electrical products. The six materials<br />

limited by RoHS are: lead, mercury, cadmium,<br />

hexavalent chromium (chromium VI or<br />

Cr6+), polybrominated biphenyls (PBB) and<br />

polybrominated diphenyl ether (PBDE).<br />

PBB and PBDE are flame retardants used in<br />

some plastics.<br />

Similar standards have been adopted<br />

in China, Japan, Korea and California. The<br />

U.S. federal government currently has no<br />

plans to adopt a similar directive.<br />

Recycling<br />

The U.S. Department of Energy defines<br />

recycling as “the process of converting<br />

materials that are no longer useful as designed<br />

or intended into a new product.”<br />

Renewable Energy<br />

The U.S. Department of Energy defines<br />

renewable energy as “energy derived from<br />

resources that are regenerative or for all<br />

practical purposes cannot be depleted.<br />

“Types of renewable energy resources<br />

include moving water (hydro, tidal and<br />

wave power), thermal gradients in ocean<br />

water, biomass, geothermal energy, solar<br />

energy and wind energy.<br />

“Municipal solid waste (MSW) is<br />

also considered to be a renewable energy<br />

resource.”<br />

Sustainable development<br />

Economic, social (political) and environmental<br />

development that is harmonized<br />

for the good of all interests.<br />

Many, including the United Nations,<br />

use the definition from the Brundtland<br />

Report Our Common Future that “sustainable<br />

development is development that<br />

meets the needs of the present without<br />

compromising the ability of future generations<br />

to meet their own needs.”<br />

Others contend that this is not an operational<br />

definition and that the concept<br />

is best defined as “a socio-ecological process<br />

characterized by ideal-seeking behavior<br />

on the part of its human component,”<br />

which is adapted from the work of Russell<br />

Ackoff and Fred Emery, among others.<br />

Nevertheless, there are some that consider<br />

the phrase a greenwash oxymoron. To many,<br />

the concept of growth and depleting nonrenewable<br />

resources are mutually exclusive.<br />

Zero Waste<br />

An approach to the cradle-to-cradle<br />

concept that includes reduction of product<br />

or process waste and consumption,<br />

plus advancing the notion of reuse, repair<br />

or return to the environment.<br />

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<strong>Spring</strong> 2008 | <strong>InsideOutdoor</strong> | 49


32north (www.32north.com) 51<br />

Advanced Elements (www.advancedelements.com) 47<br />

Alphatan International (www.precision-pak.com) 37<br />

ASF Group (www.asfgroup.com) 41<br />

Atlas Glove (www.lfsinc.com/atlasoutdoor) 25<br />

Bemis (www.bemisworldwide.com) 23<br />

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Climashield (www.climashiled.com) 17<br />

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Coghlan’s (www.coghlans.com) 11<br />

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Cordura (www.cordura.com) 3<br />

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Durapeg (www.durapeg.com) 22<br />

IFAI (www.safetyfabrics.com) 9<br />

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FREE SUBSCRIPTIONS<br />

Subscriptions to INSIDE OUTDOOR magazine are free to those working in the<br />

outdoor products value chain. Simply go to www.insideoutdoor.com and click on<br />

the subscribe link. Fill out the form completely and you will start receiving the<br />

magazine within six weeks.<br />

PAID SUBSCRIPTIONS<br />

Professionals related to the industry but not within the qualification catagories<br />

may purchase a one-year subscription. Basic rate: U.S., $59; Canada, $99;<br />

foreign, $199. (U.S. funds only). Please call 480-503-0770 to place your order.<br />

ADDRESS CHANGES, RENEWALS and CANCELLATIONS<br />

Go to www.insideoutdoor.com and click on the subscribe link. For address<br />

changes and renewals, simply fill out the form, submit it and your subscription<br />

will automatically be renewed with your most current information. To cancel<br />

your subscription, go to the “Cancellations” header, click “here” and follow<br />

the instructions.<br />

CORRESPONDENCE<br />

Send letters to the editor via email to Martin Vilaboy at martin@bekapublishing.com.<br />

All other correspondence should be directed to INSIDE OUTDOOR 745 N. Gilbert<br />

Rd., Ste. 124, PMB 303, Gilbert, AZ, 85234<br />

PRESS RELEASES<br />

INSIDE OUTDOOR magazine welcomes press releases and any other<br />

information relating to the outdoor products value chain. Releases should be<br />

emailed to Martin Vilaboy at martin@bekapublishing.com<br />

REPRINTS<br />

For high-quality article reprints, minimum of 100 quantity, please contact the<br />

publisher at 480-503-0770.<br />

ADVERTISING<br />

For a media kit or information about advertising, call Berge Kaprelian at<br />

(480) 503-0770, berge@bekapublishing.com<br />

50 | <strong>InsideOutdoor</strong> | <strong>Spring</strong> 2008


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